Your Smart Money Moves Personal Finance Bloghttps://www.yoursmartmoneymoves.com
The TOP RATED Personal Finance Blog & Retirement Guide for Generation X & Y by Ted JenkinSun, 12 Aug 2018 13:26:55 +0000en-UShourly1https://wordpress.org/?v=4.9.88681978The New Way To Pay For College Debthttps://www.yoursmartmoneymoves.com/2018/08/12/pay-for-college-debt/
https://www.yoursmartmoneymoves.com/2018/08/12/pay-for-college-debt/#respondSun, 12 Aug 2018 13:26:28 +0000https://www.yoursmartmoneymoves.com/?p=12505
If there isn’t enough pressure for kids to get into college today, the pressure is mounting on the pressure for kids to pay off their college debt. With student debt obligations now surpassing credit card obligations with more than 1.4 trillion dollars in outstanding debt, the question is looming about when this bubble is going to burst. Millions of students are in default of their loans and the reality of this amounting hill of debt is limiting the new generations from buying homes and starting families. With all of this mounting concern, colleges may have found a new way to help students deal with the rising cost of college. It’s called the Income Sharing Arrangement, and it appears that venture debt has just hit the world of college education. Here’s a little big of background on the ISA, and even large schools like Purdue University have the Back A Boiler program where they say “It’s not a loan. You’re not alone.” With an income sharing agreement, a student borrows money...]]>

If there isn’t enough pressure for kids to get into college today, the pressure is mounting on the pressure for kids to pay off their college debt. With student debt obligations now surpassing credit card obligations with more than 1.4 trillion dollars in outstanding debt, the question is looming about when this bubble is going to burst. Millions of students are in default of their loans and the reality of this amounting hill of debt is limiting the new generations from buying homes and starting families.

With all of this mounting concern, colleges may have found a new way to help students deal with the rising cost of college. It’s called the Income Sharing Arrangement, and it appears that venture debt has just hit the world of college education.

Here’s a little big of background on the ISA, and even large schools like Purdue University have the Back A Boiler program where they say “It’s not a loan. You’re not alone.” With an income sharing agreement, a student borrows money to pay for their tuition, room, board, fees, etc. exactly as they would with a traditional loan. The main difference on the payback of the loan is that the student doesn’t owe the money borrowed plus some fixed or variable interest rate, but instead they agree to some fixed percentage of their future income as payback. The ISA is gaining traction amongst colleges and universities in the United States as a supplement to federal loans and grants instead of growing high interest variable private loans.

How does it work? It works a lot like you would see venture debt with a private company. Since the school doesn’t know what kind of income or job the student is going to get, they agree to some fixed percentage of the student’s future income until some multiple of the money borrowed is completely paid off. As an example, if the student borrows $30,000 from the college or university, the ISA might request the student pays back a total of 2.5x the amount borrowed (or $75,000) until the obligation is paid off. The quicker the student grows their personal income, the faster the debt is paid off with the college or university.

The good news about a program like this is that the college truly has a vested interest to not only help their ISA students find jobs, but also find high quality paid jobs. Since the student can only repay the debt if they earn more money, there is mutual benefit to both sides to drive income growth. The bad news about this type of arrangement is that the student may end up paying back more money than they would in a traditional fixed rate interest loan from the school or a private lender.

The concept of ISA’s has been around since the famous economist Milton Friedman outlined them as a potential model to repay debt in the 1950’s, but it isn’t until now that they have really started to gain traction. Will this be the solution to help students deal with the rising cost of college, or is this just the Gordon Gecco coming out of the colleges and universities so they can become even more powerful than they are today? Student take notice…venture debt has now hit the college campus!

If you want to set up a time to discuss your college planning needs, please go to oXYGen Financial to set up an appointment.

]]>https://www.yoursmartmoneymoves.com/2018/08/12/pay-for-college-debt/feed/012505Great 2018 Back To School Money Moveshttps://www.yoursmartmoneymoves.com/2018/08/05/great-back-to-school-money-moves/
https://www.yoursmartmoneymoves.com/2018/08/05/great-back-to-school-money-moves/#respondSun, 05 Aug 2018 14:52:19 +0000https://www.yoursmartmoneymoves.com/?p=12501
For most people in Atlanta, it is back to school time this week for your children. For many of you across the country, it’s only a month to Labor Day and then everyone will be in full speed back to the grind. As the dog days of summer approach us and with school back in session, here are five great back to school money tips you should review today! 1) There are alternatives to student loans for college – With student loans at an all-time high and many students having to stay in state because of the rising cost of college, will there be alternatives on how to deal with this menacing situation of paying for college? Over the past year, several large schools have started to offer a new program where instead of taking out debt, the student offers a percentage of their future income back to college in a unique structure that is different than traditional student debt. Purdue University, as an example, has a program called Back...]]>

For most people in Atlanta, it is back to school time this week for your children. For many of you across the country, it’s only a month to Labor Day and then everyone will be in full speed back to the grind. As the dog days of summer approach us and with school back in session, here are five great back to school money tips you should review today!

1) There are alternatives to student loans for college – With student loans at an all-time high and many students having to stay in state because of the rising cost of college, will there be alternatives on how to deal with this menacing situation of paying for college? Over the past year, several large schools have started to offer a new program where instead of taking out debt, the student offers a percentage of their future income back to college in a unique structure that is different than traditional student debt.

Purdue University, as an example, has a program called Back A Boiler that they offer today in limited supply. This program introduces a new concept called an Income Share Agreement (ISA) where the student offers to income share a percentage of their future income until they fulfill an obligation with the school. In this case, the ISA is equivalent to 2.5 times the initial funding while at school. In this case, if the student borrows $30,000, there is no interest on this amount that accrues, but they would have to income share until $75,000 of total money is paid off which would equal the 2.5 times number.

In the investment world, this looks a lot like a venture debt structure, where you have no equity in a company but instead you loan money to a company in return for some multiple of your cash until you get completely paid off. This new ISA could be a neat structure for you and your child to look at for college funding.

2) Back To School Supplies –Walmart has a feature that allows users to type in their zip code to find a list of local schools, and the schools’ specific supply lists. Each list is broken out into the supplies along with the quantity the teachers request. Click on the Find Items link for Walmart prices. Another option is School Tool Box, which similarly allows shoppers to find their own school’s lists, and often serves as a school fundraiser. This tool also divides the lists further by gender, which some schools require.

Amazon’s back to school sale also includes kits. The kits are organized into grade appropriate levels, but do not appear to allow for prepackaged kits according to specific school lists. Amazon hasn’t forgotten college students and teachers. Best Buy’s back to school sale offers significant markdowns on MacBooks and iPad Pros, select laptops and Surface laptops. Deals like the $100-$150 off select computers can be combined with other offers.

Apple’s Back to School 2018 sale runs through Sept. 25 and offers homeschool teachers and Kindergarten-12 faculty (plus higher education faculty, students and parents) a variety of Beats headphones with qualifying Apple product purchase.

3) Bungee Jump – There is a new app out there called Bunjii, which is basically an app that looks like Uber for moving. On this app, you can let them know how many pieces of furniture you are moving and how many miles away you will be moving the furniture. They will price out what it costs to move, and then you can track it and rate it to give your opinion. This could be the future of moving, especially for college kids and people who often move apartments.

4) Know the New 529 Rules – With the Trump tax law changes here in 2018, you can now use the 529 plans to pay for K-12 private or religious school. This means if you have been paying tuition yearly out of pocket, it might be a great time to put some money away, so you can grow it tax deferred over the next year and tax it out tax free for the K-12 education. Remember, that you can only take out up to $10,000 per year for K-12 schooling. In the state of Georgia, if you use the Path To College you can also get a $4,000 state income tax deduction per eligible child.

5) Set Up An Allowance Plan– It is a huge mistake to “give” an allowance because your children will have to “earn” down the road as their salary will not be given. Think about what you might be rewarding every week for behavior and what the earnings are worth if your children reach their allowance goals. It is to allow your kids to stop doing their basic weekly responsibilities, and back to school is a great time to revisit their family roles and how you are calculating weekly reward if you have set up an “earned” allowance plan.

If you want to set run the numbers to see what you might need to save for your children’s college education, please go to oXYGen Financial to set up an appointment.

]]>https://www.yoursmartmoneymoves.com/2018/08/05/great-back-to-school-money-moves/feed/012501How To Avoid A Big Tax Surprise In 2019https://www.yoursmartmoneymoves.com/2018/07/28/how-to-avoid-a-big-tax-surprise/
https://www.yoursmartmoneymoves.com/2018/07/28/how-to-avoid-a-big-tax-surprise/#respondSat, 28 Jul 2018 13:39:22 +0000https://www.yoursmartmoneymoves.com/?p=12496
With only five months left in 2018, it is probably time you start thinking about what your income taxes will look like before the end of the year. The 2018 Trump tax overhaul not only changed the entire tax table system, but there were serious alterations for individuals and small businesses that could throw a real knot in your income taxes if you don’t carefully plan. The challenge for most families is that they plan reactively versus proactively often only thinking about taxing when it is time either write a check or collect a refund. Here are my five ways to avoid a big tax surprise come March or April in 2019. Review Your Withholdings And Do A Mock Tax Projection The IRS did an overhaul of the tax withholding tables and most people didn’t change their withholdings from Married 1 or Single 2 or wherever you had your overall withholdings. The big question you want to start with is taking a close look at your pay stubs and...]]>

With only five months left in 2018, it is probably time you start thinking about what your income taxes will look like before the end of the year. The 2018 Trump tax overhaul not only changed the entire tax table system, but there were serious alterations for individuals and small businesses that could throw a real knot in your income taxes if you don’t carefully plan. The challenge for most families is that they plan reactively versus proactively often only thinking about taxing when it is time either write a check or collect a refund. Here are my five ways to avoid a big tax surprise come March or April in 2019.

Review Your Withholdings And Do A Mock Tax Projection

The IRS did an overhaul of the tax withholding tables and most people didn’t change their withholdings from Married 1 or Single 2 or wherever you had your overall withholdings.

The big question you want to start with is taking a close look at your pay stubs and asking yourself how much have you paid year to date?

From there, you should look at the 2018 tax tables which can give you some idea on where the new taxable income rates sit and at least some view if you are remotely on track. Of course, you’ll have to look closely as well at your deductions which I will discuss below.

Tax Deductions May Get You SALTY

The number one line item that will dramatically change higher income earners are the SALT- State and Local Taxes (real estate, state tax, local tax) which will be capped at $10,000 on your itemized deductions. Remember, in years prior if you earned $400,000 (let’s assume a 6% state income tax rate), that means you would have about $24,000 in state income taxes to deduct on your itemized deductions. If your real estate taxes were $8,000, for example, and $2,000 for local city taxes, you would have a total of $10,000 of real estate and local taxes in this scenario. This means you normally would have $34,000 of itemized deductions instead of the cap of $10,000 of itemized deductions for these line items. This means you need to account for the delta of what you cannot write off anymore.

For some of you, this cap will likely cross you over to start using the new standard deduction which will be $24,000 for married couples and $12,000 for single filers.

Consider Bunching Charitable Deductions

If you do get limited to the standard deduction, you may consider using something called donor advised funds or donate more in one tax year to bunch your deductions to actually itemize instead of making smaller charitable contributions each and every year. An example of this would be if you tithe every year to church. Let’s say you normally tithe $10,000 per year. In a normal tax year, with the cap of $10,000 on the state and local taxes, you might not get to the $24,000 standard deduction even with the $10,000 tithe. Instead, if you have the means, what you might do is make one $50,000 charitable contribution in one tax year, or if you gift the $50,000 to a donor advised fund, you can take the tax deduction in 2018 but parcel your gifts over a number of years. This is the idea behind bunching.

If you are past the age of 70 ½ and have to make a required minimum distribution, you could consider making a required minimum distribution directly to a charity. In this scenario, the RMD is tax free because you are making the distribution directly to a charity.

Know What You Can’t Deduct Anymore

One massive change that has vaporized this year you’re your tax deductions are the miscellaneous expenses from your itemized deductions.

In the past, these deductions could be taken to the extent that the exceeded 2% of your adjusted gross income. In 2018, these will no longer be available and could cause a big surprise especially to sales people who would normally deduct mileage, meals and entertainment, and travel not reimbursed by their companies. Other examples include investment fees, tax preparation, etc. This means you should look back at your 2017 return and think about how much you actually deducted using this strategy in the past

Did You Sell Stock?

The markets have been good over the past 10 years and some people are starting to take profits. You should look closely at your brokerage accounts and check your capital gains taxes for the year.

Remember, if you held stock under one year it will be treated as regular ordinary income, and if you held it more than one year it will be treated as a long-term capital gain.

If you want to set up to look at tax planning strategies before year end, please go to oXYGen Financial to set up an appointment.

]]>https://www.yoursmartmoneymoves.com/2018/07/28/how-to-avoid-a-big-tax-surprise/feed/012496Bad Credit Card Moves To Makehttps://www.yoursmartmoneymoves.com/2018/07/22/bad-credit-card-moves-to-make/
https://www.yoursmartmoneymoves.com/2018/07/22/bad-credit-card-moves-to-make/#respondSun, 22 Jul 2018 14:31:01 +0000https://www.yoursmartmoneymoves.com/?p=12492
When the Dodd-Frank Wall Street Reform and Consumer Protection Act was put into place, credit card holders were supposed to benefit from the new regulation. Consumers would receive new notifications for rate fee increases, statements would inform consumers on how long it would take to pay off balances, and credit issuers were required to mail bills at least 21 days before the due date. Now that some time has passed since the Dodd-Frank Act, consumers are still struggling with all time high levels of credit card debt and the fine print coming from credit card companies are smaller than ever. Here are five things you should keep an eye on so you don’t get stung by the credit card companies. Late Fees – Late fees are a big source of ways that credit card companies earn money. Since many of us pay our bills through automatic payment, you should make sure you pay your credit card bill a few days before the actual due date. Some credit card companies...]]>

When the Dodd-Frank Wall Street Reform and Consumer Protection Act was put into place, credit card holders were supposed to benefit from the new regulation. Consumers would receive new notifications for rate fee increases, statements would inform consumers on how long it would take to pay off balances, and credit issuers were required to mail bills at least 21 days before the due date. Now that some time has passed since the Dodd-Frank Act, consumers are still struggling with all time high levels of credit card debt and the fine print coming from credit card companies are smaller than ever. Here are five things you should keep an eye on so you don’t get stung by the credit card companies.

Late Fees – Late fees are a big source of ways that credit card companies earn money. Since many of us pay our bills through automatic payment, you should make sure you pay your credit card bill a few days before the actual due date. Some credit card companies will give their customers several weeks to pay their bill before late fees or finance charges will be incurred. However, some credit card companies will begin charging late fees and finance charges literally the next day after the due date. You need to read the fine print on your credit card statements and fulfillments you get from your credit card company because they may change their policies and actually move the dates around. Paying late fees is a huge mistake than can be costly to your bottom line.

Finance Charges – How would you like to have a loan that is three to five times the current mortgage rate? As interest rates climb over the next year, you are going to see APR rates on many credit cards get back in the 18% to 21% range. It’s bad enough that people purchase items they cannot current afford as a habit with their personal finances, but to compound the error with financing it at a credit card company only adds insult to injury. This is truly a bad move to make and many individuals and families don’t like to talk about their mistakes, so they compound it with taking out a 2nd, 3rd, or 4th credit card.

0% Introductory Annual Percentage Rate – We see on television and on the internet advertisements that entice us to start a new credit card with a 0% introductory rate. There are also mailers we get that will allow us to transfer our balances over to a new credit card with a 0% interest rate on the balance transfer. If you are going to do a balance transfer to a 0% card, be sure you closely read the fine print on what happens with new purchases or cash advances. Often, the card issuers that give you this 0% rate will charge the maximum possible interest rate on new purchases or new cash advances. It is very important that you decide in advance whether you will need the card you transfer the balance to for floating new credit. If you take a new credit card with an introductory 0% rate, then be sure to read the fine print on how long the rate will last and what types of purchases it covers. The reason I think this can be a bad move is that many families believe they will pay off the balance before the rate expires, when in fact the APR rate after the 0% interest expires can often be more than the current rate you had on your original card.

Inactivity or Annual Fees – Since credit is at a premium today, you need to manage your credit cards more closely than ever. If you are inactive with the credit cards that you have, it is likely today that the credit card companies will shrink your overall credit limit. Some of the credit card companies will get sneaky can actually charge you an inactivity fee if you are not careful or do not spend a certain amount on the card. This is true with many new offers put out to consumers today. In addition, you should be clear when you sign up what the annual fees will be. Some cards offer more rewards, benefits, and features that will make the annual fee worthwhile. However, some cards will charge excessive fees without any real particular benefit.

No Rewards – With so many credit cards offering perks and rewards, it’s just a plain awful move not to be getting something in return from your credit card company. Especially for those of you who pay off your monthly bill or have a business where you charge a good deal of expenses. Whether you choose a cash back card, a frequent flyer award card, or a card that builds up universal points that you can use in a variety of places, you should have some card that builds up something for your financial future.

Credit card companies are businesses. We all know this. Yet, it is only when we open our statements to see extra charges and fees that we get into a fit of rage with a customer service person that really is less than interested in our diatribe on the phone. Make sure you limit the number of credit cards you have in your wallet and read each piece of new mail you get from your credit card company as they send them to share important information with you. Don’t get caught with your credit card company sneaking into your wallet!

]]>https://www.yoursmartmoneymoves.com/2018/07/22/bad-credit-card-moves-to-make/feed/012492How To Settle Your Money Arguments At Homehttps://www.yoursmartmoneymoves.com/2018/07/14/how-to-settle-your-money-arguments-at-home/
https://www.yoursmartmoneymoves.com/2018/07/14/how-to-settle-your-money-arguments-at-home/#respondSat, 14 Jul 2018 16:36:56 +0000https://www.yoursmartmoneymoves.com/?p=12486
Many families worry about their financial plan and whether or not they will run out of money. Some families are living paycheck to paycheck and trying to figure out a better way to budget their monthly dollars. However, money arguments are one of the leading causes about why couples ultimately split up. According to the Institute for Divorce Financial Analysis, 22% of all divorces are caused by money issues. So, how do you stop those money arguments at home? #1 The Dreaded Spender Saver Couple It is important to try to understand your spouse’s money personality as we all have a unique way we think about money shaped often by how we were raised as a child. The most critical item for a couple where you have one person who is very frugal and the other who can often be frivolous is to set concrete unified family financial goals. This means really sitting down and figuring out the financial priorities you have for the next year, and also what you...]]>

Many families worry about their financial plan and whether or not they will run out of money. Some families are living paycheck to paycheck and trying to figure out a better way to budget their monthly dollars. However, money arguments are one of the leading causes about why couples ultimately split up. According to the Institute for Divorce Financial Analysis, 22% of all divorces are caused by money issues. So, how do you stop those money arguments at home?

#1 The Dreaded Spender Saver Couple

It is important to try to understand your spouse’s money personality as we all have a unique way we think about money shaped often by how we were raised as a child. The most critical item for a couple where you have one person who is very frugal and the other who can often be frivolous is to set concrete unified family financial goals. This means really sitting down and figuring out the financial priorities you have for the next year, and also what you both want over the next 20 years. Getting on the same page financially will reduce your money arguments. If you can’t do this yourself, find a competent financial advisor to assist you in this process.

#2 You Don’t Feel Like You Have Any Teamwork At Home When It Comes To Money

Is the motto what’s mine is mine and what’s yours is yours, or do you have the philosophy that what’s ours is ours? It may seem strange, but money often creates struggles over power and control especially when one spouse makes more money than the other creating the appearance that they should have more ‘say’ over the decision making in the family. Full transparency between two partners is the most important part of the process. The moment one spouse has a hidden bank account for their side fun spending or one spouse has a separate unannounced credit card that they are secretly spending on each month, then you have a real problem coming for your relationship. I recommend that you have joint accounts for the joint financial goals and joint expenses, and still maintain some level of personal accounts to maintain some financial independence for the personal fun expenses you have each year.

#3 Nobody Wants To Be In Charge Of The Money

The reality is unless you turn the reins over to a Private CFO® for your family finances, someone has to take control of being the family CFO. Whether that is the person that has more interest in running the money or it is the person who is more skilled, one spouse must know what is going on with the day to day money. You really want to set yourself up with some sort of online financial aggregation system, so you can have a clean look at your net worth, your budget, and your investments. Sit down quarterly with your spouse and review where you are at to make sure spending doesn’t get out of control.

#4 My Family Has More Money Than Your Family

If it is isn’t bad enough that you have deal with your own spouse and kids for money talks, what happens when you’re in laws start wielding their money power on your relationship? While it is nice to get gifts from family members, you need to make sure you absolutely set boundaries and tell your family that there has to be ‘no strings attached’ with any money gifts. If your in-laws agree to pay for a Disney Cruise, but they a) want to go on the cruise and b) use it as a negotiating chip to get more time than your family, be very careful about accepting the gifts because it can put a ton of strain on your relationship.

#5 The Blame Game

If you have a spouse or partner that you think has some sort of spending addiction (Amazon as of late), the worst thing in the world to do is accuse them of being irresponsible and start playing the blame game. You should try to spend some time like any addiction to understand the why behind the behavior. Does the spending make them feel good? Do they really get happy from the spending? You should ask questions to get to the root of the cause. If the spending is crippling your budget, see if you can come to an agreement to a ‘limit’ of what they can spend monthly to start. This can help you gradually ease them off of the spending problem.

You can always e-mail me at ted@oxygenfinancial.net and I will be glad to play MoneyRef if you want me to assess and handle a money argument you are having at home.

]]>https://www.yoursmartmoneymoves.com/2018/07/14/how-to-settle-your-money-arguments-at-home/feed/012486When Is The Right Time To Refinance?https://www.yoursmartmoneymoves.com/2018/07/07/when-is-the-right-time-to-refinance/
https://www.yoursmartmoneymoves.com/2018/07/07/when-is-the-right-time-to-refinance/#respondSat, 07 Jul 2018 16:38:07 +0000https://www.yoursmartmoneymoves.com/?p=12478
With the Fed recently raising interest rates, many people have started to wonder if they should act on the refinance now or wait to see what happens with interest rates. If you are buying a new home, thinking about refinancing your mortgage, or just wondering where this is all headed, it is a good time to start crunching the numbers and examining the current mortgage you have in place. So, when is the right time to refinance? Side note: There is “Rule Of Thumb” – the rule of thumb really boils down to a math equation which I will lay out for you here in the article. Question 1: What Is This Going To Cost You? There is always a cost to refinance. Sometimes you will hear on television these deals that say no closing costs or no cost to refinance. What some companies do is simply roll those closing costs into the newly refinanced loan so instead of refinancing $280,000 of debt you might refinance $283,000 of debt. Since...]]>

With the Fed recently raising interest rates, many people have started to wonder if they should act on the refinance now or wait to see what happens with interest rates. If you are buying a new home, thinking about refinancing your mortgage, or just wondering where this is all headed, it is a good time to start crunching the numbers and examining the current mortgage you have in place. So, when is the right time to refinance?

Side note: There is “Rule Of Thumb” – the rule of thumb really boils down to a math equation which I will lay out for you here in the article.

Question 1: What Is This Going To Cost You?

There is always a cost to refinance. Sometimes you will hear on television these deals that say no closing costs or no cost to refinance. What some companies do is simply roll those closing costs into the newly refinanced loan so instead of refinancing $280,000 of debt you might refinance $283,000 of debt. Since the monthly payment difference in negligible, they figure you won’t even notice and think that they have done you a favor. There is ALWAYS a cost to refinance.

Typically, a refinance will cost you in the 1% to 1.5% range of your home value, but it can vary lender to lender. Make sure you get a detailed print out of every single cost to do the refinance.

Question 2: How Long Will It Take To Breakeven?

What will be your monthly savings from the refinance? This is one of the most important questions in the process because you need to know how much money you’ll save each month. That is the reason to do the refinance. To free up more monthly cash flow.

Once you know that number, you can do a rudimentary calculation to determine how many months it will take to recoup the cost of the refinance. For example, if the refinance cost you $3,000 and you save $250 a month, it will take you 12 months to make the transaction make sense. Remember, with the new tax laws you should consider NOT doing a home equity line of credit if you take two mortgages because HELOC are not tax deductible going forward.

Question 3: How Long Will You Live In The Home?

This is probably one of the most difficult questions for families because the prototypical answer is ‘I don’t know’. It is an important question to ask yourself because it will tell you if you have long enough to meet your breakeven number.

You should really consider possibilities of job change, desire to change schools, etc. because if it takes you four years to breakeven on the refinance and you move in two years than it really doesn’t behoove you to do the refinance.

Question 4: How Long Will The New Mortgage Last?

If you take a new 30-year mortgage, will that run into retirement? The number one flaw of refinancing in my opinion is that people forget that if that take out a new 30-year mortgage they have a new 30-year obligation unless you pay off the mortgage at a quicker rate. What if you have to carry the note into retirement? Can your finances handle that when you aren’t earning the income you are earning today?

If you take an adjustable rate mortgage, what will happen if rates keep going up?? Some families take out 3/1 mortgages or 5/1 mortgages or ARM’s and don’t consider what happens if rates go up. The past 10 years this wasn’t much of a worry, but the odds of rates going up the next 10 years are far greater than going down. Consider what would happen to your monthly disposable income if your rate went from 4% to 6% or even 8%. This is an important exercise to go through.

Question 5: Have Home Values Gone Up Where You Live?

One reason you might want to refinance is around getting rid of PMI. If you are paying for Private Mortgage Insurance because you put down less than 20% when you bought the home, ask yourself if prices in your neighborhood have gone up enough to get your loan to value to be 80% or less. If the answer to this question is yes, you could consider challenging the PMI from your current mortgage or do a refinance and reappraisal altogether to get rid of that monthly burden. For most families this could save you $80 to $100 a month on average.

If you want to set up a time to discuss this financial planning strategy or more, please go to oXYGen Financial to set up an appointment.

]]>https://www.yoursmartmoneymoves.com/2018/07/07/when-is-the-right-time-to-refinance/feed/012478Is It Time To Do The Holidays In Julyhttps://www.yoursmartmoneymoves.com/2018/06/30/is-it-time-to-do-the-holidays-in-july/
https://www.yoursmartmoneymoves.com/2018/06/30/is-it-time-to-do-the-holidays-in-july/#respondSat, 30 Jun 2018 14:29:07 +0000http://www.yoursmartmoneymoves.com/?p=12472
It’s July. Why in the world would we want to start thinking about holiday time in December right now. One of the biggest financial hangovers people have in their budgets is when they overspend during the holiday season. Now that we have hit July, I have some smart money moves tips that can put a few of those dollars back in your and maybe even take some of the stress out of your life. Here are five money ideas for doing Christmas, Chanukkah, or whatever holiday you celebrate with your families in December to save you some money. What’s On Sale Now – When you are out and about at the stores, you should always take a peek at the clearance racks. You might find some cool piece of clothing, shoes on sale, or some piece of technology that is being upgraded to a new version. For sure, all summer clothes will start to go on sale, so this can be an excellent time to snatch those deals up now. What...]]>

It’s July. Why in the world would we want to start thinking about holiday time in December right now. One of the biggest financial hangovers people have in their budgets is when they overspend during the holiday season. Now that we have hit July, I have some smart money moves tips that can put a few of those dollars back in your and maybe even take some of the stress out of your life. Here are five money ideas for doing Christmas, Chanukkah, or whatever holiday you celebrate with your families in December to save you some money.

What’s On Sale Now – When you are out and about at the stores, you should always take a peek at the clearance racks. You might find some cool piece of clothing, shoes on sale, or some piece of technology that is being upgraded to a new version. For sure, all summer clothes will start to go on sale, so this can be an excellent time to snatch those deals up now. What many people don’t realize is that you can find excellent savings on fitness gear and tools as well during the summer. Also, your credit cards including American Express will have some of their own merchandise in their rewards section on clearance as well. So, you might be able to find an excellent deal with points (not even cash) to purchase a gift for the holidays now.

Amazon Prime Day – We don’t know the exact date yet, but Amazon Prime day has been leaked to be on July 16th and July 17th this year. Usually, they will announce this right in the beginning of July. though historically U.S. and foreign shares have traded roughly on par with one another. This is Amazon’s version of Black Friday or Cyber Monday, but a GREAT time for you to be looking for discounted deals on gifts now instead of doing this over the holidays.

Use AI – If you are having trouble saving for the holidays and typically go into more credit card debt than you would like to admit, consider using a modern day version of AI as a savings account until you start shopping. Digit (digit.com) is an AI machine that tracks the spending patterns in your bank account. When they know it is the right time of the week or month, they will automatically take some money out and put it into an FDIC insured money market account. Digit helps force the discipline to save on a monthly basis. The only downside is the $2.99 a month fee.

Get A Travel Deal – The best deals on airfare and hotels for the holidays typically happen during the month of October. However, you will want to get your air watch alerts beginning in July, so you can track the deals for when October comes. More importantly, flexibility of travel is one of the key cornerstones to really getting the best travel deal during the holidays, so you should make sure that you talk to your boss now about what days you can take off during the holiday season, so you can travel from a weekday to a weekday versus a weekend to a weekend. This will put some money back in your pocket.

Make A Savings Challenge Now – We are about 21 weeks away from Black Friday. If you think you’ll spend $1,000 during the holidays that means, you’ll need to start banking $50 a week now or $7 a day. Whether you go the simple route like a change jar or have money systematically taking out of your paycheck, getting those funds set aside today will take the bite out of racking up credit card debt during the holidays.

If you want to set up a time to challenge yourself to do better financially please go to oXYGen Financial to set up an appointment today.

]]>https://www.yoursmartmoneymoves.com/2018/06/30/is-it-time-to-do-the-holidays-in-july/feed/012472Five Wedding Gift Ideas For The Modern Day Bride And Groomhttps://www.yoursmartmoneymoves.com/2018/06/23/wedding-gift-ideas/
https://www.yoursmartmoneymoves.com/2018/06/23/wedding-gift-ideas/#respondSat, 23 Jun 2018 12:29:57 +0000http://yoursmartmoney.wpengine.com/?p=12453
Several years ago, I wrote a your smart money moves blog https://bit.ly/2JZfUK4 about what is the right amount to give for a wedding gift. According to CNBC, the average cash gift for a wedding across the United States is $160 with the state of Vermont the highest at $240 and the state of Arkansas the lowest at $73. Trends are changing this year in how couples plan for their wedding. Rather than starting with palette, couples are planning out wedding vision boards that capture their vibe and celebration instead. With the cost of flowers rising through the roof, balloons are being used as a replacement that is colorful, fun, festive, and most importantly less expensive. Let’s not forget that in the world of social media today, couples are looking for some of those Instagrammable moments including seating card displays and interesting drinks as their guests enter the reception. Here are five wedding gift trends that you need to know for next wedding you attend: Charity is a hot trend –...]]>

Trends are changing this year in how couples plan for their wedding. Rather than starting with palette, couples are planning out wedding vision boards that capture their vibe and celebration instead. With the cost of flowers rising through the roof, balloons are being used as a replacement that is colorful, fun, festive, and most importantly less expensive. Let’s not forget that in the world of social media today, couples are looking for some of those Instagrammable moments including seating card displays and interesting drinks as their guests enter the reception.

Here are five wedding gift trends that you need to know for next wedding you attend:

Charity is a hot trend – Many couples who are getting married later in life for the first time or are having a second wedding have many of the basic staples that people ask for when they get married young. Websites such as The Good Beginning allow couples to set up a direct account where guests can give their cash gift to a charity of the couples choice versus getting cash at the wedding.

No More Macy’s – 20 years ago, couples would choose one or two places to register to give their guest an opportunity to send the couple a gift including coffee machines, flatware, and bedding. A new website Zola allows guests to gift their money into a central registry and the couple can choose from more than 50,000 gifts from many different vendors across the board.

Send Us On Our Honeymoon – Some couples simply can’t afford to go on that fabulous honeymoon that they have dreamed about ever since she said “yes”. Honeyfund is a website where a couple can create a simple one-page storyboard about their dream honeymoon and why it would mean so much on their special day. You can give your gift of cash to the honeymoon fund instead of buying a gift or giving cash at the wedding.

Start Our Stock Portfolio – There is a lot of spending when it comes to pulling off an amazing wedding day. Rather than buy some gift off of a registry or handing over a card filled with a check, consider the idea of starting the couple with a stock portfolio. It’s really easy today by going to Give A Share where you can literally buy up to one share of stock for the newlywed couple and get them started on their future financial goals.

Start A Newlywed Fund – One of the more famous websites around wedding planning is The Knot. Recently, they started something called The Newlywed Fund which is a like funding a universal debit card so the bride and groom can use their wedding funds to purchase anything from camping gear, to a couples massage, or even get a house cleaner to get their new home neat and tidy. These kinds of universal wedding funds make it much easier to plan your gift in advance of the big day and give the couple lots of flexibility on how to use their money for the future.

If you want to set up a time to discuss your retirement plan, please go to oXYGen Financial to set up an appointment.

]]>https://www.yoursmartmoneymoves.com/2018/06/23/wedding-gift-ideas/feed/012453Will Social Security Run Out Of Money?https://www.yoursmartmoneymoves.com/2018/06/16/will-social-security-run-out-of-money/
https://www.yoursmartmoneymoves.com/2018/06/16/will-social-security-run-out-of-money/#respondSat, 16 Jun 2018 13:47:01 +0000http://yoursmartmoney.wpengine.com/?p=12445
It’s not quite time for a five-alarm fire, but with the announcement last week that the Government will have to dip into the Social Security reserve fund for the first time since 1982. That’s 36 years! The trustees who oversee the Social Security Benefit Program said that Medicare’s hospital insurance fund will be depleted by 2026 and Social Security trust fund will dissipate by the year 2034. So, what does that mean to us? Does it mean, no Social Security? Reduced Social Security? Pay more money into the system? Privatize the system? Extend the normal retirement age? All of these are potential outcomes, but just because the Social Security trust fund completely depletes it doesn’t mean Social Security won’t still be there. It’s estimated that by 2034 if nothing is done to the system, the tax revenue collected will only be able to fund somewhere between 75% to 80% of today’s benefits. This means, you can be sure changes are coming down the road one way or another. Since Social...]]>

It’s not quite time for a five-alarm fire, but with the announcement last week that the Government will have to dip into the Social Security reserve fund for the first time since 1982. That’s 36 years! The trustees who oversee the Social Security Benefit Program said that Medicare’s hospital insurance fund will be depleted by 2026 and Social Security trust fund will dissipate by the year 2034. So, what does that mean to us? Does it mean, no Social Security? Reduced Social Security? Pay more money into the system? Privatize the system? Extend the normal retirement age?

All of these are potential outcomes, but just because the Social Security trust fund completely depletes it doesn’t mean Social Security won’t still be there. It’s estimated that by 2034 if nothing is done to the system, the tax revenue collected will only be able to fund somewhere between 75% to 80% of today’s benefits. This means, you can be sure changes are coming down the road one way or another.

Since Social Security only mails you a statement once every five years, you might want to set up an account on www.ssa.gov/myaccount and check this account yearly. Often, there are record keeping mistakes of your actual wages and according to ssa.gov you only have 3 years, 3 months, and 15 days to correct these mistakes or Social Security doesn’t necessarily have to change them for you.

Also, remember that you need to get 40 quarters of earned income to even qualify for Social Security. Today, one quarter is $1,320 of earned income and I’m amazed at how many people don’t look at this until it is too late.

You also want to do a thorough analysis about when is the best time to actually take Social Security, especially in light of what may be happening to benefits down the road. If you choose to take your benefits early at the age of 62, remember that you will get a reduced benefit. However, the more potentially onerous penalty is that if you continue to earn money after you start receiving your reduced benefit the amount of money you earn matters. In 2018, if you earn more than $17,040 of earned income, every $2 you earn above the $17,040 number will cost you $1 of your Social Security benefit. Whether or not you will continue to work actually becomes a big determination about when you will take Social Security.

On the flip side of the equation, you also get rewarded to take your benefit at a later age. This year, 66 years and 4 months old is the ‘normal retirement age’, but for people who were born 1960 and beyond the normal retirement age scales up to the age of 67. For every year you delay your full Social Security benefit, you will get an 8% bump in your monthly amount, which means if you wait until the age of 70 you will be roughly in the 130% amount of your full retirement age Social Security benefit.

As I analyze the numbers, it is likely in my opinion that those born after a certain date (say 1980) will have a normal retirement age of 70 which makes sense because people are living longer these days and Social Security was never intended to be a long-term income stream when it was designed. It won’t surprise me at all that people over a certain income level (say $250,000) either won’t collect their Social Security benefit or they will get a substantially reduced/phased out benefit. The last piece is the possibility of the FICA (Social Security tax) becoming a perpetuity tax just like Medicare tax is today. Social Security could phase out cost of living adjustments, although I don’t see this as likely as a scenario.

As it stands for your financial plan today, you might want to consider re-running your financial plan using only half of your Social Security benefit rather than the full amount. If you are wrong, it will only add gravy to your plate. If you are right, you will have planned well and still enjoy a comfortable retirement despite the fact that you won’t collect your full Social Security.

If you want to set up a time to discuss your retirement plan, please go to oXYGen Financial to set up an appointment.

]]>https://www.yoursmartmoneymoves.com/2018/06/16/will-social-security-run-out-of-money/feed/012445Should You Buy A Home Before Amazon Makes A Decisionhttps://www.yoursmartmoneymoves.com/2018/06/08/should-you-buy-a-home/
https://www.yoursmartmoneymoves.com/2018/06/08/should-you-buy-a-home/#respondFri, 08 Jun 2018 16:49:46 +0000http://yoursmartmoney.wpengine.com/?p=12438
Amazon will soon announce the winner of its HQ2 parade, with one city emerging victorious to get on the back of Jeff Bezos and ride him like Secretariat for the Triple Crown. There are all sorts of interesting statistics on what an Amazon HQ will do the economy of the city it picks and even recently there were odds thrown out with Boston as the 5/1 to favorite. If sports betting becomes legal in time in all states, would you take this bet? One financial decision to consider now in the cities that believe they have a chance to reel in Amazon for HQ2 is whether or not to buy real estate betting that prices will soar through the roof like they have in Seattle over the past five to ten years. The bet is to get in the real estate now before prices explode after the announcement. It’s almost like betting on an earnings report on Wall Street or an IPO that is about to be unleashed. Amid all...]]>

Amazon will soon announce the winner of its HQ2 parade, with one city emerging victorious to get on the back of Jeff Bezos and ride him like Secretariat for the Triple Crown. There are all sorts of interesting statistics on what an Amazon HQ will do the economy of the city it picks and even recently there were odds thrown out with Boston as the 5/1 to favorite. If sports betting becomes legal in time in all states, would you take this bet?

One financial decision to consider now in the cities that believe they have a chance to reel in Amazon for HQ2 is whether or not to buy real estate betting that prices will soar through the roof like they have in Seattle over the past five to ten years. The bet is to get in the real estate now before prices explode after the announcement. It’s almost like betting on an earnings report on Wall Street or an IPO that is about to be unleashed.

Amid all the speculation, I wouldn’t rule against buying something cheaply priced. Especially if it is a fixer upper but given where prices have already shot up in some of the major competitive cities you should stay away from the million dollar plus market. Here is why….

INTEREST RATE AND HOME PRICES – Remember, that as interest rates rise it means that new mortgage payment will cost Americans more money on a monthly basis for the same amount of mortgage. Just as prices have risen during this overall low interest rate environment, as interest rates rise you will see the higher end of the real estate market decline first. That is why I wouldn’t be against a move on a fixer upper, but not the million dollar market. Where could real estate at the upper level go if interest rates go up to 5% or 6% loan rate? In addition, you will see the assessments for your local and county taxes go up as it pertains to your real estate. The key investment strategy here is to begin to stockpile cash (remember 2008?) and look to be able to buy homes for cash or borrow money when you get lower real estate prices even if interest rates are higher.

SALARY ADDICTION – A big home comes with big expenses. There isn’t just the cost of furnishing your home (which prices are extremely high right now), but homeowners that reside in a large square footage house are always ridden with items that need to be fixed in the home. On average, about 1% of your home value will be your cost for just maintenance and upkeep alone. Have you ever had to replace three air conditioning units instead of one? Have you calculated the cost of painting the exterior of a larger home? What about ongoing landscaping? My big fear for most people now is that your salaries and bonuses may be at the high end of the grid and as your larger companies slow down growth, you could see salary cuts or layoffs which can put tremendous stress on your family budget. Especially if you are locked into a 1 or 2 million dollar home with a big mortgage and lack of write offs going forward.

BOOMERS, BOOMERS, and MORE BOOMERS – With more than one third of all people born between 1945 and 1960 having no real retirement savings, the equity in their homes represent the real money they have saved for their future. At first, they will work on getting by with social security and whatever savings they have in their pockets, but eventually whether they have multiple homes or just one home, you will see more renters and a flood of inventory into the market which will drive prices down.

No matter what city you live in, getting the Amazon HQ2 deal will come with its pros and cons. A bet on real estate could be interesting if you find the right deal in the right place…and most important bet on the city with the right bet.

]]>https://www.yoursmartmoneymoves.com/2018/06/08/should-you-buy-a-home/feed/012438Five Money Moves To Make If You Are Buying Or Selling A Home In 2018https://www.yoursmartmoneymoves.com/2018/06/02/buying-or-selling-a-home/
https://www.yoursmartmoneymoves.com/2018/06/02/buying-or-selling-a-home/#respondSat, 02 Jun 2018 11:54:46 +0000http://yoursmartmoney.wpengine.com/?p=12431
With interest rates creeping up and home sites being built by the droves, many people are wondering what they should do on both the buying a selling side here in 2018. Is it too late to buy home? What interest rate is too much? How can I sell my home quickly? What other factors should I watch out for with my real estate? Here are five money tips on buying and selling homes for the rest of 2018. This Is The Law Of Supply and Demand Supply is shrinking amongst great demand – Remember, real estate is always driven by supply and demand. Depending on where you live, you may want to wait for the bubble to burst before you buy or look for areas in your city that are still gentrifying and try to buy before the big uptick happens in those areas. Monthly Supply of houses is at the bottom range – Monthly housing supply is at five months and not more than a year ago is was...]]>

With interest rates creeping up and home sites being built by the droves, many people are wondering what they should do on both the buying a selling side here in 2018. Is it too late to buy home? What interest rate is too much? How can I sell my home quickly? What other factors should I watch out for with my real estate? Here are five money tips on buying and selling homes for the rest of 2018.

This Is The Law Of Supply and Demand

Supply is shrinking amongst great demand – Remember, real estate is always driven by supply and demand. Depending on where you live, you may want to wait for the bubble to burst before you buy or look for areas in your city that are still gentrifying and try to buy before the big uptick happens in those areas.

Monthly Supply of houses is at the bottom range – Monthly housing supply is at five months and not more than a year ago is was twelve months. Historically, it’s never been lower than four months. So, even though you may be asking yourself, “who’s going to buy all of these properties?” the market is still very thin on inventory.

Buyers- Interest Rates Are Still Low

30-year rate is roughly 4.5%—and rising… This may be a turn off for some people, but let’s get a reality check that it is still a GREAT time to be borrowing money. With tax deductions still in play, your after-tax cost of borrowing will still be below 4%

30 years ago in May of 1988 it was 10.46% (source:fedprimerate.com) – For all the millennials out there that we advise, this is a key statistic to remember. The recent run of 3% long term mortgage rates were historic. When I bought my first home in 1993, I paid 8% to borrow money. Now, it is still half.

Buyers-Be Careful About Overspending

Home Prices Up 6.2% vs. 1 year ago/Wages up 2.6% – It’s important to remember not to succumb to lifestyle inflation. It isn’t just the cost of the mortgage that you’ll have to pay for when you buy a home, but I recommend you use a 10% rule of home value as to what you will spend on improvements in your first year in the home.

Use the 28/36 Rule – No more than 28% on total mortgage payment, taxes, insurance. This is the most important rule to not crush yourself financially. You need to pay attention to the ‘36’ number which says that your overall debt obligations (auto loan, student loan, etc.) should exceed 36% of your gross monthly income. If you get to the 40% plus mark for debt payments, you’ll find yourself in an ongoing financial bind.

Sellers- How Can You Sell Quickly

Price Your Property Right – If you don’t know what you are doing, a good real estate agent will be important to have. The big mistake most families make is not pricing their property at the right amount. Don’t overinflate the property too much for the negotiation game because you may ward off some families from looking at the property.

Staging May Be Worth The Money – If you really want to move the property spending 1% of the home value for a stage may be a good idea. Especially if your house has older furniture or a unique set up. Giving new buyers ideas on what this ‘could’ look like can help sell the property faster.

Be Prepared To Move (sometimes property sell quicker than you expect) – People forget to make contingency plans when they put their property on the market thinking it will take 3 to 6 months. Then, you get an offer in two days. Make sure you have thought out what will happen with your belongings and where you would stay short term if you haven’t lined up options already.

Sellers-What Would Be Your Replacement Property?

New Mortgage Deduction Cap At $750,000 – Remember, with the new tax laws here in 2018, the top mortgage you can take for tax deduction purposes is $750,000. Any mortgage higher than that you won’t be able to deduct the interest you are paying above $750,000. It used to be a million. In addition, you can no longer deduct interest on home equity loans which was up to another $100,000. You may want to consider this when you buy your replacement property.

Will You Be Paying Top Dollar When You Buy? – When you sell high on one end, it is likely you will buy high on the other end. This is why planning is so important for a move. By the time you pay sellers costs, moving costs, etc. and the costs to get into a new home you have to consider if the move was worth the trouble from a financial perspective.

If you want to set up a time to discuss specific investments in these areas, please go to oXYGen Financial to set up an appointment.

]]>https://www.yoursmartmoneymoves.com/2018/06/02/buying-or-selling-a-home/feed/012431How Do You Know If Your Portfolio Is Doing Wellhttps://www.yoursmartmoneymoves.com/2018/05/26/how-do-you-know-if-your-portfolio-is-doing-well/
https://www.yoursmartmoneymoves.com/2018/05/26/how-do-you-know-if-your-portfolio-is-doing-well/#respondSat, 26 May 2018 14:40:29 +0000http://yoursmartmoney.wpengine.com/?p=12426
Happiness is all about expectations met or unmet. There have been so many articles written about how to discuss fees with your wealth manager or financial advisor, but very few that talk about the mutual responsibility between the advisor and the client about how to measure performance of your investment portfolio. This is an important discussion because whether you are managing your money yourself or you turn it over to a professional, the question is do you know how to measure the performance of your portfolio? In 2008, when the S & P 500 had a -37% return, if your portfolio achieved a return of -35% because you were using the S & P 500 as a benchmark would you have been happy? Conversely, in 2013 when the S & P 500 had a 32.39% return, would you have been happy if you and your advisor agreed that 6% return was the absolute return that was agreed on with you and your advisor. Today, the big concern for investors is...]]>

Happiness is all about expectations met or unmet. There have been so many articles written about how to discuss fees with your wealth manager or financial advisor, but very few that talk about the mutual responsibility between the advisor and the client about how to measure performance of your investment portfolio. This is an important discussion because whether you are managing your money yourself or you turn it over to a professional, the question is do you know how to measure the performance of your portfolio?

In 2008, when the S & P 500 had a -37% return, if your portfolio achieved a return of -35% because you were using the S & P 500 as a benchmark would you have been happy? Conversely, in 2013 when the S & P 500 had a 32.39% return, would you have been happy if you and your advisor agreed that 6% return was the absolute return that was agreed on with you and your advisor. Today, the big concern for investors is that without a clear set of guidelines on how you are measuring the performance of your portfolio, it’s easy to utter the words, “we didn’t meet my expectations!” Here are several ways to measure performance.

The Absolute Approach

With the absolute approach, you are pre-determining the absolute rate of return you want to achieve every year. In this scenario, you aren’t worried about how well the Dow Jones Industrial Average, the MSCI EAFE, or the Nasdaq are doing. What you are doing here is simply stating that your goal is to make 5% every year as an example. When you hold your wealth manager or financial advisor accountable, you aren’t worried about relative measures positive or negative. Rather, you are leaving it up to them to make the portfolio allocation in such as fashion to consistently hit that number. You’ll still need to have an agreed upon time frame to measure success. What you have to ask yourself here is if the stock market goes up 30% next year and your portfolio makes 5.1%, do you agree you will be happy given 5% was your stated benchmark?

The Relative or Benchmark

With the relative or benchmark approach, you are pre-determining a benchmark to compare your portfolio against to determine success. The important part with the benchmarking process is to select the benchmark. If your portfolio is 50% stock and 50% bond, you wouldn’t want to use the S & P 500 as a benchmark. However, you also don’t want your financial advisor or wealth manager to come up with some concocted internal benchmark that you have never heard of before such as the “ABC Moderately Conservative Benchmark” where you don’t know how your benchmark was constructed. Typically, with this strategy you need to give your portfolio a few years to be measured against this benchmark to measure overall success. If the S & P 500 was the benchmark against your stock portfolio and you had a year where the S & P 500 was -30%, but your portfolio achieved -25% you would be super happy, correct? In theory, the answer should be yes. In reality, most people begin to realize that under no circumstances do they want to lose 25% in any given year.

Two 8% Returns Are Not The Same

The last part of this equation is to measure risk. Most reviews you do on your portfolio are primarily centered around return without regard to asking the question about risk. If you were measuring two wealth managers or financial advisors and both got 8% return over the past 12 months, would they be equally as good? No! The real answer would require you to delve into the numbers to understand more fully who took more risk. Ask this question in your next meeting. “What is the highest possible return and the lowest possible return I could earn on this portfolio over the next twelve months?” This is a simple question which on the surface will give you some clue as to how much risk you are taking.

What’s unfair to yourself or a wealth manager you give the reins to manage your money, is to tell them you want to make 10% without taking any risk. That’s fantasy land. Make a determination on whether you want to measure success on a relative basis, an absolute basis, and remember even if you stuff the money under your mattress…you are still taking risk.

]]>https://www.yoursmartmoneymoves.com/2018/05/26/how-do-you-know-if-your-portfolio-is-doing-well/feed/0124265 Amazing Technology Gifts For Mother’s Dayhttps://www.yoursmartmoneymoves.com/2018/05/12/gifts-for-mothers-day/
https://www.yoursmartmoneymoves.com/2018/05/12/gifts-for-mothers-day/#commentsSat, 12 May 2018 13:32:26 +0000http://yoursmartmoney.wpengine.com/?p=12419
Mother’s Day is less than a week away and word on the street is that spending is up this year. The National Retail Federation estimated that consumers will spend 19.9 billion dollars on Mom this year in 2018 which is actually down from last year. If you are counting that is an average of $162.94 per consumer which is $6 decrease from a year ago. Men will spend more than Mom than women by more than $70! Being a Mom is a tough job, and we need to all appreciate what Mom’s do throughout the year. Most consumers will acknowledge that appreciation with a greeting card (81.3%), though it appears her loved ones will also look for special gifts. Two-thirds (66.6%) of those celebrating will buy mom her favorite flowers, spending a total of $2.3 billion, and 33.5 percent will look for spring sweaters and blouses, spending a total of $1.7 billion on apparel and accessory items. Mom’s loved ones will also buy books and CDs ($480 million), housewares or...]]>

Mother’s Day is less than a week away and word on the street is that spending is up this year. The National Retail Federation estimated that consumers will spend 19.9 billion dollars on Mom this year in 2018 which is actually down from last year. If you are counting that is an average of $162.94 per consumer which is $6 decrease from a year ago. Men will spend more than Mom than women by more than $70! Being a Mom is a tough job, and we need to all appreciate what Mom’s do throughout the year. Most consumers will acknowledge that appreciation with a greeting card (81.3%), though it appears her loved ones will also look for special gifts. Two-thirds (66.6%) of those celebrating will buy mom her favorite flowers, spending a total of $2.3 billion, and 33.5 percent will look for spring sweaters and blouses, spending a total of $1.7 billion on apparel and accessory items. Mom’s loved ones will also buy books and CDs ($480 million), housewares or gardening tools ($812 million), personal experience gifts like a day at the spa ($1.5 billion), jewelry ($3.6 billion), and special outings like brunch or dinner ($3.8 billion). I say the heck with all of that and do something different this year . . . TECHNOLOGY (source: www.nrf.com)

For The Mom Who Needs To Block Out The Kids Fighting– Since there are so many ways to watch content on your computer today, it would be fitting to get Mom a top of the line pair of headphones without the top of the line price. Beats EP with their stainless-steel build might just do the trick. The $89 Beats EP may be the best value in the entire Beats line and they come in black, white, red, and blue. (beatsbydre.com) $89

For the Mom Who Needs An Assistant- Mom’s typically have 10 balls they are juggling at all times between kid’s practices, taking care of the house, and making sure all the doctor’s appointment stay on schedule. So, how do you get Mom her own personal assistant? Most people have not tried the Google Assistant app which is amazing. The Google Home Mini is only $50 and looks and sounds great—even better than Amazon Echo Dot. It uses the Google Assistant app to draw from a multitude of online services and can easily set up daily reminders such as news, weather, sports, and more. ( $50

For The Mom Who Wants To Stay Healthy– With all the running around Mom has to do all day, it is important that Mom gets her daily intake of water. This is the only water bottle on the market that glows to let you know it is time to drink more water and lets you know when you have hit your daily goal. It can sync up to all kinds of fitness trackers and has its own app as well. (hidratespark.com) $50

For The Mom Who Wants Her Coffee Or Tea Just Right- Today’s busy moms may start out their days with a cup of hot tea or coffee, but that does not mean they have time to finish it with all they have to do to start the day. Ember is a fun gift that Mom will appreciate because it is a smart mug. Each ceramic cup & coaster will keep your drink warm throughout the day but can be ordered to warm up at any time for Mom through the Ember app. (ember.com) $79.95

For The Mom Whose Cell Phone Batter Is Always Running Low– (uncommongoods.com) $35.95 Even in her most organized bag, retrieving lip gloss feels like spelunking for a single penny. You can help Mom make it a bright vision of order with this rechargeable, automatic light. The sleek square fits in any purse or tote and lights up at the touch or approach of a hand, turning frantic rummaging into game-changing illumination. The light switches off after a few moments to preserve the battery—just enough time to grab that mint, wallet, or phone. Speaking of phones, you can give yours a power boost (once you’ve found it) through the light’s device charger port. It’s one brilliant design that’s not averse to sharing power.

There is always time to buy the traditional gifts – flowers, candy, clothes, etc. But in a modern day society, a good easy to use gadget can go a long way to mom. Happy Mother’s Day to all Mom’s across America and most especially to my wife Genna!

]]>https://www.yoursmartmoneymoves.com/2018/05/12/gifts-for-mothers-day/feed/112419Five Money Moves To Make If Your Company Files Bankruptcyhttps://www.yoursmartmoneymoves.com/2018/05/05/five-money-moves-to-make-if-your-company-files-bankruptcy/
https://www.yoursmartmoneymoves.com/2018/05/05/five-money-moves-to-make-if-your-company-files-bankruptcy/#respondSat, 05 May 2018 13:01:57 +0000http://yoursmartmoney.wpengine.com/?p=12409
As we get deeper into the calendar year of 2018, bankruptcies are at an all-time high for the retail sector. In fact, in 2018 store closing are expected to be up 30% and cross over 10,000 retail stores that will close this year. There isn’t a person you run across today who won’t admit that online companies are killing brick and mortar. Even if your company says they will reorganize their debt and not officially lay everyone off, it’s probably time you make some smart financial moves now to get your personal financial plan in place. Make sure you take care of all of your health items- Health insurance is one of the biggest things to be thinking about if your company is filing bankruptcy. What you want to understand is what will be happening with your company benefits. If you do lose your job, do you understand the COBRA rules and the costs? Do you understand what the cost would be if you have to get your own...]]>

As we get deeper into the calendar year of 2018, bankruptcies are at an all-time high for the retail sector. In fact, in 2018 store closing are expected to be up 30% and cross over 10,000 retail stores that will close this year. There isn’t a person you run across today who won’t admit that online companies are killing brick and mortar. Even if your company says they will reorganize their debt and not officially lay everyone off, it’s probably time you make some smart financial moves now to get your personal financial plan in place.

Make sure you take care of all of your health items- Health insurance is one of the biggest things to be thinking about if your company is filing bankruptcy. What you want to understand is what will be happening with your company benefits. If you do lose your job, do you understand the COBRA rules and the costs? Do you understand what the cost would be if you have to get your own individual insurance? Most importantly, if you feel that the hatchet may be coming, one of the things that you should absolutely do is to take care of all your doctor dental appointments especially if you have met the yearly deductible.

Are any of my benefits portable? If your employer offers them now, and you have benefits including life insurance or disability insurance, you should call your benefits or human resources department and find out which benefits are portable. By portability, I mean having the ability to transfer a group plan into something that’s more individual which you will pay for on your own. Many employees never research portability of benefits until it is too late. No matter what the cost is of these portable benefits, you want to be able to have comparable numbers should you purchase this on your own.

What happens to your investment plans at work? Let’s say that you have programs such as stock options or the company is contributing money into a retirement plan, you will want to research all of this to understand what happens under a bankruptcy. Will your stock options or 401(k) plans be immediately vested? Do you have a certain period of time you can exercise your stock options, or are there other deferred compensation plans that may affect your tax situation differently? Will you potentially be getting severance? It is important to check in with company policies to find out these items.

Make sure that you’ve got your resume ready– You should always be working on is having a copy of a current resume available. Should your company decide to completely layoff its workforce, you’ll need to get your ducks in a row, so your family doesn’t have a gap in income. In a tight job market, a good resume versus a bad resume may separate the number of interviews that you have for your next position.

Don’t get prior management upset– In the game of business, it’s always going to be a nine-inning game versus a one inning game. You never know how a former colleague or boss can help you or hurt you. You want to make sure that you don’t upset former employers because the merry go round will come around again. You never know what’s going to hit you in the future. So just make sure that you leave on positive terms.

You can’t predict when a company bankruptcy will exactly happen, so the best you can do is to get prepared. We hope this never happens to you and you never have to consider looking for a job if you get laid off for your company, but you never know especially in the retail sector. These are just a few tips from us to make sure that you get yourself prepared just in case something happens down the road.

]]>https://www.yoursmartmoneymoves.com/2018/05/05/five-money-moves-to-make-if-your-company-files-bankruptcy/feed/012409Breaking Down the Economic Situations of the 10 Countries Most Reliant on Remittancehttps://www.yoursmartmoneymoves.com/2018/05/04/breaking-down-the-economic-situations-of-the-10-countries-most-reliant-on-remittance/
https://www.yoursmartmoneymoves.com/2018/05/04/breaking-down-the-economic-situations-of-the-10-countries-most-reliant-on-remittance/#respondFri, 04 May 2018 17:07:25 +0000http://yoursmartmoney.wpengine.com/?p=12416
Although the concept of expats wiring cash to their families in their native countries is certainly nothing new, the sheer degree which money is being sent back is rather staggering. According to a recent remittance report by Forbes, worldwide payments rose by 7% in 2017. This brought the total amount of global remittance payments to a whopping $613 billion. Citing oil prices and rapid currency changes, it appears that the growth of the remittance market won’t be slowing down barring a massive economic shift this year. This begs two much bigger questions, though: which countries are most impacted by the need for such payments and why are they a necessity in the first place? After all, these expats aren’t just sending money back home: they’re potentially losing a cut of their income in the process. As noted services such as Remitly, which provide streamlined remittance services for countries around the world, the cost of such payments can quickly get eaten up by taxes and fees. And while most Americans might...]]>

Although the concept of expats wiring cash to their families in their native countries is certainly nothing new, the sheer degree which money is being sent back is rather staggering.

According to a recent remittance report by Forbes, worldwide payments rose by 7% in 2017. This brought the total amount of global remittance payments to a whopping $613 billion. Citing oil prices and rapid currency changes, it appears that the growth of the remittance market won’t be slowing down barring a massive economic shift this year.

This begs two much bigger questions, though: which countries are most impacted by the need for such payments and why are they a necessity in the first place?

After all, these expats aren’t just sending money back home: they’re potentially losing a cut of their income in the process. As noted services such as Remitly, which provide streamlined remittance services for countries around the world, the cost of such payments can quickly get eaten up by taxes and fees.

And while most Americans might think of the likes of the Philippines, Mexico or the Dominican Republic represent some of the main contenders for remittance reliance, these territories don’t even crack the top ten based on Forbes’ report.

Curious about which countries made the list and what their current economic situation signals in regard to remittance? We’ve broken down the top ten countries below and what their presence on the list means.

Kyrgyzstan

Suffering from a slew of economic difficulties following the fall of Soviet Union, a large bulk of the country’s workforce have migrated to nearby Russia. Remittances represent 35% of Kyrgyzstan’s GDP, meanwhile the country’s heavy emphasis on agriculture represents approximately one-third of the country’s remaining GDP and employment.

Tonga

Unlike many smaller countries reliant on remittance which may be stricken by conflict, Tonga’s economy is surprisingly supported in part by tourism. Much of Tonga’s workforce abroad can be found in the likes of Australia as well as the United States, representing approximately half of the country’s population.

Tajikistan

Sharing a border with Afghanistan, the country is all too familiar with the ongoing strife in the Middle East including their own relatively recent war for independence.

Agriculture and aluminum keep Tajikistan afloat, although the country’s poverty-stricken populace at large relies on remittances. Many of Tajikistan’s expats end up finding new opportunities in Russia, which in turn has close ties with the country and its military.

Haiti

Regularly impacted by natural disasters and with a somewhat rocky reputation with the tourism industry until very recently, Haiti’s economy can’t seem to catch a break. Beyond billions of dollars in foreign aid from the United States, the country’s economy is propped up by agriculture and mining.

Nepal

Nearly three-quarters of Nepal’s working population work in agriculture and does indeed receive a decent economic bump from tourism. The country is making progress toward eliminating its widespread poverty, with remittances making a major decent in the problem as many expats go to India for work.

Liberia

Liberia’s suffering economy is yet another byproduct of political strife and war. A mass exodus of skilled workers following the country’s civil war between the late 1980’s and early 1990’s has resulted in a complete standstill in terms of economic growth.

Comoros

Representing one of the poorest countries in the world, high population density and lack of education are the cause of Comoros’ high reliance on the work of expats. Like most of the countries listed, the name of the game is agriculture with Comoros being one of the globe’s largest producers of vanilla.

Gambia

Natives in the Gambia overwhelmingly grow their own food and raise their own livestock as means of supporting themselves due to the country’s lack of notable exports. Curiously, the country does have some support from the tourism industry thanks to its exotic wildlife.

Moldova

Another example of coming into economic hardship following the Soviet Union’s collapse, Moldova has somewhat been able to find its economic footing since the 2000’s. Geopolitical concerns and lack of a sound banking structure still loom, though, as is the case of the majority of unstable economies. Moldova, interestingly enough, has a notable commercial presence in the world of wine.

Honduras

In addition to widespread poverty, violent crime and natural disasters are responsible for the country’s need for remittance. Not unlike Haiti, Honduras would have much greater potential for tourist dollars if safety concerns could be addressed.

The public at large might not be strangers to remittance itself, but the countries that need it the most oftentimes go under the radar in terms of the social and economic situations. Hopefully this list served as an eye-opener as the need for remittance continues to boom worldwide.

]]>https://www.yoursmartmoneymoves.com/2018/05/04/breaking-down-the-economic-situations-of-the-10-countries-most-reliant-on-remittance/feed/012416Can You Retire On 1 Million Dollars?https://www.yoursmartmoneymoves.com/2018/04/29/can-you-retire-on-1-million-dollars/
https://www.yoursmartmoneymoves.com/2018/04/29/can-you-retire-on-1-million-dollars/#commentsSun, 29 Apr 2018 14:17:42 +0000http://yoursmartmoney.wpengine.com/?p=12403
One million dollars used to be the gold standard when it came to figuring out how much money you would need to never have to work the rest of your life. Now, we all know if you really put your mind to it that you could probably retire on a million dollars, but the real question is whether or not you could maintain the standard of living you have been accustomed to off of your current income. With our society having become more of an outsourced society than a do it yourself society, here’s why 1 million dollars isn’t what it used to be. The Slient Killer – Inflation may be the number one item underestimated when it comes to overall retirement planning. Inflation is on the rise, and if it rears its ugly head at the 4% level you better seek shelter to figure out how to make your money last. At a 4% inflation level, 1 million dollars will really be worth $500,000 in twenty years and only...]]>

One million dollars used to be the gold standard when it came to figuring out how much money you would need to never have to work the rest of your life. Now, we all know if you really put your mind to it that you could probably retire on a million dollars, but the real question is whether or not you could maintain the standard of living you have been accustomed to off of your current income. With our society having become more of an outsourced society than a do it yourself society, here’s why 1 million dollars isn’t what it used to be.

The Slient Killer – Inflation may be the number one item underestimated when it comes to overall retirement planning. Inflation is on the rise, and if it rears its ugly head at the 4% level you better seek shelter to figure out how to make your money last. At a 4% inflation level, 1 million dollars will really be worth $500,000 in twenty years and only $250,000 in forty years. If you work the math backwards, that means millennials will literally be below the poverty line if they only retire with 1 million dollars.

In addition to that sobering fact, less than 5% of companies today often a defined benefit pension plan and most people believe Social Security won’t be a big mainstay of their retirement plan. In fact, for Gen X’ers, full retirement age starts at 67 and I believe within the next 10 years they will raise the full retirement age to 69 or 70 for the millennial generation making it harder to count on Social Security for baseline income.

You Don’t Know Your Number – I’m surprised at how many people still really don’t know the exact number they will need in retirement to maintain their standard of living. It all starts with knowing how much monthly income you will need or want in today’s dollars. Then, you need to determine when you plan to make work optional, so you can figure out how much that today’s income number is with inflation in the future. You can then back out your fixed income including any pensions, social security, rental income, or other streams of projected fixed income. From this point you can figure out exactly how much you need on your ‘retirement’ debit card to maintain your standard of living in retirement. It’s highly advisable to figure out this number and then every three years make sure you update your plan based upon personal, business, or economic changes.

We Are Living Longer – In just the past thirty years, the average lifespan of an American is up 4 full years versus the eighties. The average life expectancy for a man is 79 and for a woman its 81. Women…this means you’ll actually need to make sure you save more money for retirement. For married couples, there is a huge newsflash you need to pay attention to with your retirement savings. If both of you live to the age of 65, the second death in your family is projected to happen after the age of 92! This is why 1 million dollars may not be enough money.

What If You Are Behind? – If you are feeling way behind your retirement savings goals, obviously getting started to save more now and putting your money in the right place to work for you are important steps to take immediately. You should also consider picking up some useful skills, so you can still earn in retirement and begin looking at lower cost areas in the United States as places to live to stretch your retirement savings as far as they can go in the future.

If you want to set up a time to discuss your retirement plan, please go to oXYGen Financial to set up an meeting and we can help you breathe easier® about life.

]]>https://www.yoursmartmoneymoves.com/2018/04/29/can-you-retire-on-1-million-dollars/feed/112403How To Get A Better Airline Price Even After You Book The Flighthttps://www.yoursmartmoneymoves.com/2018/04/21/get-a-better-airline-price/
https://www.yoursmartmoneymoves.com/2018/04/21/get-a-better-airline-price/#commentsSat, 21 Apr 2018 16:03:54 +0000http://yoursmartmoney.wpengine.com/?p=12395
All of us have experienced that fear of price gouging when we book our flights on line. When you go to a major website such as Expedia, Priceline, or Kayak, you often wonder whether or not you are getting the best possible deal. Then, when you hesitate to book the flight when you go online, you get even more bitter when you come back a day or two later only see the prices go higher. Or, even worse is when you actually book the flight and then you see the price go LOWER! Well, with the power of Artificial Intelligence there may be an answer to help you sleep better at night when you are booking flights or hotel called DoNotPay (www.donotpay.com/travel) that may just solve the problem. The real beauty about DoNotPay is that it works AFTER you have booked your flight ensuring that you get the best possible deal on your flight. Since flight and hotel prices change every single day, DoNotPay works by finding the travel confirmations...]]>

All of us have experienced that fear of price gouging when we book our flights on line. When you go to a major website such as Expedia, Priceline, or Kayak, you often wonder whether or not you are getting the best possible deal. Then, when you hesitate to book the flight when you go online, you get even more bitter when you come back a day or two later only see the prices go higher. Or, even worse is when you actually book the flight and then you see the price go LOWER! Well, with the power of Artificial Intelligence there may be an answer to help you sleep better at night when you are booking flights or hotel called DoNotPay (www.donotpay.com/travel) that may just solve the problem.

The real beauty about DoNotPay is that it works AFTER you have booked your flight ensuring that you get the best possible deal on your flight. Since flight and hotel prices change every single day, DoNotPay works by finding the travel confirmations from past bookings in the inbox of your e-mail box. When the price drops on the flight, DoNotPay has an artificial intelligence chatbot robot that acts as your lawyer to find a legal loophole to negotiate a cheaper price on your behalf. Then, DoNotPay will automatically rebook you (no rebooking charges because they know the loopholes) right on the spot.

The best case scenarios with booking flights to get a better deal are often within 24 hours of booking a flight. Since you aren’t likely to go back and do all of that work just a few hours after you got through the pain of actually booking the flight, the DoNotPay robot can enable you a full refund within that time frame because of the clauses on how airlines set rebooking fees. It is estimated that there are some 70 to 90 loopholes per airline (you go figure that one out), and the robots are programmed to scan everything from whether warnings to schedule changes, so you can wriggle out of the overpriced ticket or hotel room.

DoNotPay is a free service so there are no fees and that means you’ll keep 100% of whatever you save on your rebooking. Even your data is completely encrypted and DoNotPay will seek your confirmation from you before proceeding with any rebooking. In doing my research, I even found out that they will help with parking tickets as well!

DoNotPay is pretty easy to set up. Once you get to www.DoNotPay.com/travel you’ll be prompted through a few pretty simple screens. First, you’ll connect up your e-mail for the robots to be able to scan. It actually says in the process they only scan your airline booking e-mails and no other e-mails in your inbox. Then, the system will prompt you for your birthday. Last, it will ask you for a credit card where they will deposit the savings. If your flight is delayed, the airline loses your luggage, or you are just plain unhappy (aren’t all travelers unhappy?), DoNotPay will fight for you. It won’t take you more than 60 seconds to get all set up on the system.

In my weekly column, I’m always thinking about different ways to keep you on top of smart money moves that will add to your bottom line. DoNotPay could save you both time and money….and maybe help you get the best price on your next trip.

]]>https://www.yoursmartmoneymoves.com/2018/04/21/get-a-better-airline-price/feed/112395Last Minute Tax Moves Before You Filehttps://www.yoursmartmoneymoves.com/2018/04/13/last-minute-tax-moves-before-you-file/
https://www.yoursmartmoneymoves.com/2018/04/13/last-minute-tax-moves-before-you-file/#respondSat, 14 Apr 2018 02:12:53 +0000http://yoursmartmoney.wpengine.com/?p=12388
If filing your taxes are indicative to the way you studied for exams in college, it’s highly likely you’ll be scrambling to get your taxes done at the very last minute this year. When we wait until the last minute, we often forget small yet important tax moves that can either save us money or make us money before we actually e-file or sign on the bottom line. Here are some last-minute tax moves to consider before you file. The IRA Can Be Your Friend So many people have small businesses or 1099 income and forget that even if they have retirement plan at work they can still contribute to a SEP-IRA plan. For 2017, the Simplified Employee Pension IRA can be used for those that have 1099 income, an LCC, or an S-Corporation. You can generally fund these up to 25% of total compensation (salary in an S-Corporation) or $54,000 for 2017 for those under the age of 50. Catch ups still apply for those at or over the...]]>

If filing your taxes are indicative to the way you studied for exams in college, it’s highly likely you’ll be scrambling to get your taxes done at the very last minute this year. When we wait until the last minute, we often forget small yet important tax moves that can either save us money or make us money before we actually e-file or sign on the bottom line. Here are some last-minute tax moves to consider before you file.

The IRA Can Be Your Friend

So many people have small businesses or 1099 income and forget that even if they have retirement plan at work they can still contribute to a SEP-IRA plan. For 2017, the Simplified Employee Pension IRA can be used for those that have 1099 income, an LCC, or an S-Corporation. You can generally fund these up to 25% of total compensation (salary in an S-Corporation) or $54,000 for 2017 for those under the age of 50. Catch ups still apply for those at or over the age of 50.

The big one so many people forget is the Traditional Individual Retirement Account (IRA), which can offer you a 2017 tax deduction even up to the time you file here in 2017. That is because the IRS allows you to make those tax-deductible contributions for prior year all the way up to the filing deadline.

For those under the age of 50 you could make a contribution up to $5,500 and for those 50 or older in 2017 it will be up to $6,500. The big question will be whether or not you can deduct the IRA contribution. You can always make a contribution to save for retirement, just a question on whether or not you can deduct it.

For families who have eligibility to participate in a workplace retirement plan (401(k), 403(b), etc.) and made more than $119,000 adjusted gross income you will not be able to deduct the contribution. If you made between $99,000 and $119,000 you will be eligible for a partial deduction, and if you made less than $99,000 you can fully deduct the contribution. For single filers, the phase-out is between $62,000 and $72,000. Now, remember if you and your spouse had NO eligibility to qualified retirement plan at work, you can both fully deduct your contributions.

The Spousal IRA

Generally, individuals who are unemployed are not allowed to contribute to retirement accounts such as IRAs because they do not have eligible compensation. However, there is an exception for individuals with spouses who are employed and meet certain requirements. The employed spouse is allowed to make an IRA contribution on behalf of a non-working spouse or a spouse who has little income. These contributions are referred to as “spousal IRA contributions.” Here we review the requirements for making spousal IRA contributions. *source: Investopedia

In order to qualify for the spousal IRA, you must be married, file a joint return, and have earned compensation enough to fund the spousal IRA. The contributions limits remain the same as regular IRA with $5,500 being the max for those under the age of 50 and $6,500 being the max for those 50 or older.

Here’s the catch: You can deduct your full contribution to a spousal IRA in 2017 if you as a couple have an adjusted gross income (AGI) of $186,000 or less. You can deduct some portion of your contribution if your AGI is between $186,000 and $196,000 in 2017.

Last Minute Tax Deductions

2018 is going to present a whole new set of circumstances when you file in 2019 with the new tax law changes, so 2017 represents the last year for now that you could take advantage of certain tax deductions. Others will still be available, but it’s important you dig up every opportunity to maximize last minute tax deductions.

Did you value correctly all of your non-cash charitable contributions and do you have your receipts?

Did you account for all of your cash charitable contributions and mileage?

What about your mileage from work that you were not reimbursed?

Did you have business expenses you weren’t reimbursed at work as well?

Does your state have any personal property tax or birthday taxes?

Did you compare your state income tax vs. sales tax you paid during the year?

The point on this exercise is to get every possible last deduction you can get before you send your returns in to the IRS.

If You Owe, You Need To Pay

Just remember, that it is so important to file your return and pay if owe. Recently, I had four people I came across who hadn’t filed in multiple years. By not filing, you could be subject to failure to file penalties but more importantly if you owe money the clock starts ticking with penalties and interest. This is always a bad scenario and it’s better to face the music now versus later.

Remember as a final note that there are many types of tax credits available generally to lower income filers. These include the Earned Income Tax Credits, Retirement Savings Contribution Credits, and The American Opportunity Tax Credit all which can help you further reduce your taxes on a dollar for dollar basis.

If you want to set up a time to review your last three years tax returns, please go to oXYGen Financial to set up an appointment.

]]>https://www.yoursmartmoneymoves.com/2018/04/13/last-minute-tax-moves-before-you-file/feed/012388Are You Breathing Easier?https://www.yoursmartmoneymoves.com/2018/04/10/are-you-breathing-easier/
https://www.yoursmartmoneymoves.com/2018/04/10/are-you-breathing-easier/#respondTue, 10 Apr 2018 16:12:58 +0000http://yoursmartmoney.wpengine.com/?p=12385
Have you ever heard of “Breathwork” or “Rebirthing”? I’ve been doing various forms of breathwork for years. The concept behind it is that when you breathe deeply and rhythmically you oxygenate the body and emotions, feelings and even beliefs that you no longer choose to keep are brought to the surface and released from your body and energy field. It’s always best to do this with a coach that you trust because some of those emotions and feelings are ones that we’ve labeled bad and we don’t want to feel them. They are the ones that have been stuck for years in our sub-conscious mind. When they come out, we have to be in a non-judgmental space so we can feel them fully, release them and let them go. We release them so we can Breathe Easier!! It’s kind of like looking at your financial situation. Sometimes we’ve avoided looking at our finances. We may have hundreds of thousands or even millions of dollars in savings and investments yet there...]]>

Have you ever heard of “Breathwork” or “Rebirthing”? I’ve been doing various forms of breathwork for years. The concept behind it is that when you breathe deeply and rhythmically you oxygenate the body and emotions, feelings and even beliefs that you no longer choose to keep are brought to the surface and released from your body and energy field. It’s always best to do this with a coach that you trust because some of those emotions and feelings are ones that we’ve labeled bad and we don’t want to feel them. They are the ones that have been stuck for years in our sub-conscious mind. When they come out, we have to be in a non-judgmental space so we can feel them fully, release them and let them go.

We release them so we can Breathe Easier!!

It’s kind of like looking at your financial situation. Sometimes we’ve avoided looking at our finances. We may have hundreds of thousands or even millions of dollars in savings and investments yet there are hidden things in our psyche that are running behind the scene and draining our energy. It could be something that is kind of nagging at us. We know there are areas of our financial life that need attention but we just keep avoiding them. Something is keeping us from taking those steps.

Then, your Private CFO asks a few questions as they get to know you better and all of a sudden, you’re thinking something you hadn’t thought about in years. Feelings from childhood or a divorce or a bad business deal or bankruptcy emerge and surface. It’s like we are living that nightmare over again.

As with breathwork, it’s best to have that Private CFO, Trusted Advisor, there to help guide you through these land mines. When you can look at them, breathe through them and recognize that they are no longer useful for who you are today, you can then work more closely with your Private CFO.

You Can Breathe Easier . . . about your financial life and about your life in general.

I feel my role is to take away some of the heavy lifting for my clients. In other words, how can I bring perspectives that you hadn’t thought about before? How can I share years of experiences with helping other clients, so you come to a conclusion, And a decision, that works for you today? It doesn’t mean that you don’t change directions or make different choices in the future. It only means that in this moment you are making decisions, taking actions and moving forward, and breathing easier.

When the old beliefs are released, you can take action and move forward. The old stuff is no longer lurking in the background holding you back subconsciously.

So, breathe. And breath deeply. Let that breath guide you in your decisions. And come talk with one of us at oXYGen Financial to help guide you along your path . . . your unique path . . . to Breathing Easier About Life!

]]>https://www.yoursmartmoneymoves.com/2018/04/10/are-you-breathing-easier/feed/012385Does Your Business Need A Buy-Sell Agreement?https://www.yoursmartmoneymoves.com/2018/04/07/does-your-business-need-a-buy-sell-agreement-2/
https://www.yoursmartmoneymoves.com/2018/04/07/does-your-business-need-a-buy-sell-agreement-2/#commentsSat, 07 Apr 2018 20:59:29 +0000http://yoursmartmoney.wpengine.com/?p=12380
Entrepreneurs are generally good at one thing when they start their business and that’s generating top line revenue. Once they create enough top line revenue then they begin to think about how to drive bottom line profitability in their business. As the equity value of the company grows, most owners never consider some very important planning items because they believe they are invincible. What happens if my business partner(s) get divorced? What if they die? What if they become disabled? Do I want to be working with my partners kids or spouse? One of the key considerations for most business owners is whether or not to get a buy-sell agreement and get key person insurance. A buy-sell agreement is a legal contract that provides for the sale of an owner’s stake in a business at a ‘trigger’ event. The sale of an owner’s interest could actually trigger for many reasons including retirement, death, disability, divorce, bankruptcy, or even a conflict that various owners cannot resolve. Normally, the buyout is done...]]>

Entrepreneurs are generally good at one thing when they start their business and that’s generating top line revenue. Once they create enough top line revenue then they begin to think about how to drive bottom line profitability in their business. As the equity value of the company grows, most owners never consider some very important planning items because they believe they are invincible. What happens if my business partner(s) get divorced? What if they die? What if they become disabled? Do I want to be working with my partners kids or spouse? One of the key considerations for most business owners is whether or not to get a buy-sell agreement and get key person insurance.

A buy-sell agreement is a legal contract that provides for the sale of an owner’s stake in a business at a ‘trigger’ event. The sale of an owner’s interest could actually trigger for many reasons including retirement, death, disability, divorce, bankruptcy, or even a conflict that various owners cannot resolve. Normally, the buyout is done with the other owner’s, but it could potentially be with a third part. It is a smart idea in my experience to get these legal documents drafted early on in a relationship as they are far more arduous to set up down the road.

Why do you want to set up a buy-sell? First and foremost, you want your family or heirs to get the true value you should be getting for what you built in the business. We don’t expect bad things will happen in our businesses, but the majority of the time relationships don’t last forever….even in family businesses. If the documents are not set up appropriately, the business could even wind up in the hands of other people you don’t really want to own the business. Most importantly, do you want to have your partners to actually have to look for another buyer on short notice? Probably not.

Buy-Sell agreements can be funded or unfunded, but the smartest thing to do is either buy term insurance or permanent insurance to fund the buy sell. Essentially, the insurance will be paid into the company and then the buy-sell agreement will trigger the company to pay your family for your share of the business and then the equity in the business will be redistributed amongst the remaining owners according to the agreement. With buy-sell agreement, the valuation method is important to establish early in the process if you don’t fund the buy-sell agreement, so the valuation formula is all set to calculate your share of the company upon a triggering event. An example of this is to say that the business is worth….2x revenue or 4x net cash flow to make sure there is a consistent valuation.

In my experience, key person insurance is often not considered by business owners when they set up a buy-sell agreement. Yes, it is true that an owner’s family will get paid out and bought out…but what about the company? The company can suffer short term when an owner is absent because they may have played a key role in marketing, sales, or management. In a technology company, you may have an owner that has specific coding skills that could be tough to replace. Key person insurance is a life insurance policy that will be paid into the operating account of the business to give the company a chance to hire a new person into the role of the prior owner or cash in the bank to give the company time to design a new plan on how they will manage the company.

There are many ways to get these types of agreements set up, but whether you have one partner in the business or many you should take a look at making sure you have funded buy-sell agreements set up today. The last thing in the world you want to be faced with is working with the spouse or kids of a partner who know nothing about how your business works.

If you want to set up a time to discuss the best way for you to set up a business will, please go to oXYGen Financial to set up an appointment.

]]>https://www.yoursmartmoneymoves.com/2018/04/07/does-your-business-need-a-buy-sell-agreement-2/feed/412380Five Ways To Save Money On Pet Costshttps://www.yoursmartmoneymoves.com/2018/03/31/save-money-on-pet-costs/
https://www.yoursmartmoneymoves.com/2018/03/31/save-money-on-pet-costs/#respondSat, 31 Mar 2018 16:51:58 +0000http://yoursmartmoney.wpengine.com/?p=12373
As the millennial generation grows up (people born 1981-1996), many couples are actually substituting the idea of having children with have pets as the cental focus of their family. According to the American Veterinary Medical Association (AMVA), the 2012 Pet Ownership & Demographics Sourcebook showed that almost 40% of households in American had a pet dog. Cats were at 31% falling in seconds place and a litany of other animals were further down on the list. It turns out that if you ask most people what they think the cost to own a dog will be during its lifetime they gave an answer of $6,000. However, the range actually falls between $27,000 and $42,000 in actuality over the course of ten years. Of course children are more expensive, but here are five ways you could save money if you have a pet. Schedule Regular Checkups – We know that it is always better to be proactive versus reactive when it comes to handling our own health. There is no reason...]]>

As the millennial generation grows up (people born 1981-1996), many couples are actually substituting the idea of having children with have pets as the cental focus of their family. According to the American Veterinary Medical Association (AMVA), the 2012 Pet Ownership & Demographics Sourcebook showed that almost 40% of households in American had a pet dog. Cats were at 31% falling in seconds place and a litany of other animals were further down on the list. It turns out that if you ask most people what they think the cost to own a dog will be during its lifetime they gave an answer of $6,000. However, the range actually falls between $27,000 and $42,000 in actuality over the course of ten years. Of course children are more expensive, but here are five ways you could save money if you have a pet.

Schedule Regular Checkups – We know that it is always better to be proactive versus reactive when it comes to handling our own health. There is no reason in the world you should treat your pet differently. By having regularly scheduled visits to the vet at least 2x per year, you can catch medical issues that can be treated before they become large scale problems. Remember, that emergency room visits are the most expensive costs you can have if your pet needs to be treated immediately. Catching early onset of digestive problems or other behavioral problems can save you big money down the road.

Get Pet Insurance – Many large employers today offer pet insurance as a benefit during open enrollment. Ten years ago, hardly anybody even knew that pet insurance existed. Today, you have many options on how to buy pet insurance. Healthy Paws Pet Insurance (healthypawspetinsurance.com) is an example of over the counter insurance that can cover your dog from head to paw for a lifetime. This insurance can pay for vet bills, injuries, illnesses, emergencies, genetic conditions, and much more.

Be A Vigorous Shopper – Whether you get a membership to a place like Costco or you double shop every single pet item on Amazon.com, you need to shop your food, medicine, dog bowls, and any other items you need for your dog. With the internet today, there is no reason to pay one dollar more for any item than you need to in order to take care of your pet. One really good idea is to simply check out the local dollar store where you can often get good deals as well.

Skip The Fashion Trends – There are many upscale places where you can buy fancy vests, doggie collars, boots, and many other accessories so your dog can get on the cover of Cosmopolitan. Do your best to avoid wasting big money on doggie fashion trends that you may only use once or twice and not again.

Have Your Pet Spayed or Neutered (wouldn’t Bob Barker be happy) – If you bring home a new pet (especially a dog or a cat), it is likely they were spayed or neutered already. I would urge you to take care of this as soon as possible if it isn’t done already because if you are trying to cut down on expenses, spending the money to have them fixed will be a lot better than having a new litter of dogs or cats.

]]>https://www.yoursmartmoneymoves.com/2018/03/31/save-money-on-pet-costs/feed/012373Why Universal Basic Income Won’t Workhttps://www.yoursmartmoneymoves.com/2018/03/25/universal-basic-income/
https://www.yoursmartmoneymoves.com/2018/03/25/universal-basic-income/#commentsSun, 25 Mar 2018 13:53:31 +0000http://yoursmartmoney.wpengine.com/?p=12365
After I listened to this short clip on the Wall Street Journal’s website over the weekend, I felt compelled to write a short article around Universal Basic Income because I think it is a topic that you will see bandied about a lot more over the next five to ten years. http://on.wsj.com/2tZbLPp Chris Hughes who is the cofounder of Facebook, is one of the driving forces behind this movement along with Bill Gates and other tech giants who are strong proponents of Universal Basic Income (UBI). In his interview you can watch from the link I shared, Mr. Hughes says, “I think that something fundamentally in the economy has changed to create these winner take all markets, where a small number of hardworking people do very well, and nine out of 10 others are also hardworking don’t enjoy the same opportunities.” Mr. Hughes, I am sure they taught this at Harvard as standard course requirement but it is something called Capitalism. Didn’t they teach you this in coding school. As...]]>

In his interview you can watch from the link I shared, Mr. Hughes says, “I think that something fundamentally in the economy has changed to create these winner take all markets, where a small number of hardworking people do very well, and nine out of 10 others are also hardworking don’t enjoy the same opportunities.” Mr. Hughes, I am sure they taught this at Harvard as standard course requirement but it is something called Capitalism. Didn’t they teach you this in coding school.

As it stands today, really only one country is steeped in an exercise to see if Universal Basic Income will actually work. Finland launched a trial at the beginning of 2017 where 2,000 unemployed workers will receive 560 Euros (about $700 US Dollars) each month for two years. Researchers will assess how the free money affects recipients’ incentive to work, and the Finnish government hopes it might reduce bureaucracy in the existing welfare system. Netherlands, Canada, and other countries are starting to run some pilots as well.

So, what is Universal Basic Income? UBI is a financial model to provide all citizens of a country or other geographic area a given sum of money, regardless of their income, resources or employment status. The purpose of UBI is to prevent or reduce poverty and increase equality among citizens. Just so I can simplify this for you there is another word for this called Socialism or you as you may have heard before redistribution of wealth.

A long time ago, I got out of discussing politics. When people ask me, “Which way do you lean Ted, Red or Blue? I simply respond GREEN!” The reason I answer that way is in my business people don’t give me a pass no matter whether you have a democrat or a republican in the White House, they want to make money, so it is our job to figure out how to make people money or protect their money under any regime. UBI would be a massive implosion to our financial system and here are three reasons why it won’t work.

It absolves you of ownership – There is a stark difference between earning something and having something given to you. We know today, that the current generation is the quintessential ‘get a participation trophy’ generation when we ultimately know that is not what will happen in real life. We forget how great our country is in terms of innovation and productivity, and when you start removing responsibility for people to be accountable for their actions, you immediately start to cut off part of the arm that creates the success we have had in our country. If you asked yourself this question today, “What would I have to do tomorrow if I couldn’t meet my basic needs?” would you have an answer? Learning from success and failure is the fabric of everything we stand for in our country.

It isn’t affordable – It’s ironic how many times we go through these exercises, but if our recent memory went through temporary case of amnesia we are now almost $21 trillion dollars of debt. Are we suggesting that we just start printing more money to provide a Universal Income Benefit or is this another ploy to place a higher income and estate tax on those that have more wealth. According to Forbes, in 2015 out of more than 171,000,000 tax units 45.3% or 77,500,000 tax units will pay ZERO tax. The fact that most of the tax is already paid by the top 10% makes it even more difficult for the math to work. As they say, you can’t get blood from a stone.

It won’t solve poverty – Most people like the idea of UBI because they think it will solve poverty. Remember, that businesses still need to be profitable which is why when minimum wages get raised so do prices as well. Which is why you need to assess the real net effect across the board after those wages are raised. Providing people a monthly stipend will then lend to the question of, “How much money should we give someone to maintain a basic standard of living?” In that question, how do you assess for the location of where someone lives. There is big difference between living in San Francisco and living in Fargo. But, in all reality the more you give people the more they take. We know that for those of us who run businesses and believe that free market enterprise in a GREEN environment is the way to go. So, if you start giving people $1,500 a month, what happens then when they want $2,000 a month. The point is that water will seek its own level, and people will spend more than you give them or raise their standards as they do today even without UBI. And, it won’t solve the issue about the lower paying jobs that many people turn down today.

What’s most funny about this are people who have real means, suggest they want to fight the cause, but don’t trade in their own lavish standards to support the very causes they talk about. What I suggest to Mr. Hughes is to a) donate all of your money to the UBI system, b) leave yourself with enough to make $75,000 a year, and c) then learn to live off that $75,000 a year so you can live like the rest of America as you see fit in your eyes. Donating millions but still keeping the homes, the cars, the fine hotels, and all of the private jets doesn’t make you better because you say it in a video. We founded this country on capitalism. That’s the simple answer where an economic and political system where a country’s trade and industry are controlled by private owners for profit, rather than by the state. UBI is the antithesis of helping people learn the spirit of capitalism.

]]>https://www.yoursmartmoneymoves.com/2018/03/25/universal-basic-income/feed/112365The Importance Of Risk Management In Tradinghttps://www.yoursmartmoneymoves.com/2018/03/23/risk-management-in-trading/
https://www.yoursmartmoneymoves.com/2018/03/23/risk-management-in-trading/#commentsFri, 23 Mar 2018 14:47:17 +0000http://yoursmartmoney.wpengine.com/?p=12360
Most successful traders use risk management as part of their trading strategy. This is as much down to the importance of protecting gains as limiting losses. There are numerous ways in which you can protect your trades against unexpected market moves. This article covers the basics of risk management in trading, especially when you are using forms of leveraged trading such as spread betting and contracts for difference (CFDs). What is leveraged trading? Leveraged (also known as margined) trading gives you a larger exposure to the market. This means that you are able to open a trade by putting down just a fraction of the full value of the trade you are looking to place. Leverage allows you to use a small amount of capital to control a larger sum of an asset. Leverage is a great way to gain exposure to the market. Your potential for profit can go up when the market moves in your favour. It is important to remember, however, that your potential for loss can...]]>

Most successful traders use risk management as part of their trading strategy. This is as much down to the importance of protecting gains as limiting losses. There are numerous ways in which you can protect your trades against unexpected market moves.

This article covers the basics of risk management in trading, especially when you are using forms of leveraged trading such as spread betting and contracts for difference (CFDs).

What is leveraged trading?

Leveraged (also known as margined) trading gives you a larger exposure to the market. This means that you are able to open a trade by putting down just a fraction of the full value of the trade you are looking to place. Leverage allows you to use a small amount of capital to control a larger sum of an asset.

Leverage is a great way to gain exposure to the market. Your potential for profit can go up when the market moves in your favour. It is important to remember, however, that your potential for loss can also be compounded when market prices move in the opposite direction.

Take, for example, real estate. When buying a home you may deposit a small percentage of the total value of the property you wish to buy to secure your mortgage. This is like trading on leverage. You will deposit a small amount of funds, which will allow you to have more exposure on that trade. But there are two sides to this exposure. One, you have the potential to gain much more based on the amount of leverage on your trade. Two, you have the potential to lose much more than the amount you have placed on the trade should prices move against you.

Remember to monitor the spread

What is the spread and why is it important? Your spread betting, CFD or FX trading platform will offer two prices for the instrument you wish to trade. The two prices you will see are the buy price and sell price. These dictate what the spread will be. The difference between the buy price and sell price will be the spread. Let’s say, for example, gold is currently trading at 3,368.5/3,370.5 (buy price/sell price). The spread here is 2.0.

The lower or tighter the spread, the lower your trading costs will be. So knowing how spreads work can allow you to project your trades for a profit or reasonable loss.

How do stop losses work?

There are numerous ways in which you can protect your trades against sudden market moves. These include the use of stop losses and guaranteed stop losses. Stop losses are designed to close out your trades at a pre-defined price for a loss should the market move against your trade. The idea is to stop you from racking up larger losses in adverse market conditions.

As a trader, this means that you will have calculated the amount you can afford to lose beforehand, based on the point where you have placed the stop-loss order. If the trade goes past the point where you have placed the stop, it will exit the trade and remove you from that trade at a loss. Although stop-loss orders can be a great risk management tool, they are not fool proof in comparison to guaranteed stop-loss orders (GSLOs).

Most trading platforms these days offer stop-loss orders at no extra charge. There will be an extra charge for using a GSLO, however, as these are premium (and not all providers offer these).

Difference between stop-loss orders and guaranteed stop-loss orders

The difference between a regular stop-loss order and guaranteed stop-loss order is that with a stop-loss order, there is no guarantee to close out your trade at the pre-defined price. This means that if the market price slips past your positioned stop loss due to sudden volatility, your trade could be closed at a worse price and your losses could be higher. A guaranteed stop-loss order will take you out of the trade at exactly the point you state, irrespective of market gapping or slippage.

What is a take-profit order?

A take-profit order or limit order works in the same way as a stop-loss order. The difference is that, as the name suggests, take-profit orders close your trades at a pre-defined level for a profit.

Using a reward:risk ratio

A risk:reward ratio effectively determines how much you expect to make on a trade, against how much you are willing to lose. This will be dependent on your personal circumstances and trading goals. If, for example, you have a reward:risk ratio of 1:1, it means you will need to have over a 50% profit rate to make a long-term profit. So for every losing trade, you need to have a winning trade.

A carefully planned reward:risk ratio in conjunction with stop and limit orders can help you project what your earnings or losses can be from any given trade.

]]>https://www.yoursmartmoneymoves.com/2018/03/23/risk-management-in-trading/feed/112360Five Ways To Save Money On Spring Breakhttps://www.yoursmartmoneymoves.com/2018/03/18/save-money-on-spring-break/
https://www.yoursmartmoneymoves.com/2018/03/18/save-money-on-spring-break/#respondSun, 18 Mar 2018 14:46:00 +0000http://yoursmartmoney.wpengine.com/?p=12355
With Spring Break right around the corner, families across America are thinking about vacations to staycations wondering how to fit this into their family budget. If you aren’t careful, Spring Break could cost you upwards of $5,000 or more depending on how far of a getaway you plan for your family. There are a number of ways to save money along the way, and if you plan appropriately you can even save money on your trip. What’s In Your Wallet – We walk around all year with our Contanza size wallet full of cards we don’t use at all. Before you spend a nickel on Spring Break, see if you have a AAA card, an AARP card, a Student ID (if a student is with you), or some other discount card that can offer you savings at local venues, rent-a-cars, or restaurants. In addition, double check what your credit card may offer from lower cost Uber rides to savings at amusement parks or museums. Y.O.S – I know most of...]]>

With Spring Break right around the corner, families across America are thinking about vacations to staycations wondering how to fit this into their family budget. If you aren’t careful, Spring Break could cost you upwards of $5,000 or more depending on how far of a getaway you plan for your family. There are a number of ways to save money along the way, and if you plan appropriately you can even save money on your trip.

What’s In Your Wallet – We walk around all year with our Contanza size wallet full of cards we don’t use at all. Before you spend a nickel on Spring Break, see if you have a AAA card, an AARP card, a Student ID (if a student is with you), or some other discount card that can offer you savings at local venues, rent-a-cars, or restaurants. In addition, double check what your credit card may offer from lower cost Uber rides to savings at amusement parks or museums.

Y.O.S – I know most of the parents think I misspelled this thinking it was B.Y.O.B., but Bringing Your Own Stuff is really critical to saving money because once you are on vacation you are likely to spend just because you are having fun. It is highly recommended to make a list of what you’ll need for Spring Break, and either pack the snacks or stop at the grocery store before you hit the hotel. The gift shop or pool bar area are two of the most expensive places at a hotel whether you need flip flops, sunscreen, or some snacks. Make a pit stop beforehand as most hotel rooms now come with a small fridge and a microwave.

Apps That Deliver Savings – So many of us download apps we don’t use at all, so here are three potentially handy ones for Spring Break.

Happy Hour Deals – This app will quickly tell you local venues that have happy hours and what they offer. What’s great about this is you may be able to get sliders and fries on the cheap while the adults sip on their favorite cocktail.

Roadtrippers – This app will not only chart out your course if you are taking a Spring Break road trip, but it will also point out local joints and cheap eats dives to help you save money.

Get My Boat – You love boating, but you don’t have the money to rent one for a week at the ocean or on a lake. No problem. Get My Boat will connect you up locally with someone who will rent their boat by the day or even by the hour. Now, you can set sail or drop anchor and have a great time with little to no hassle at all.

Look For Combination Packages – In order to get your best deal on Spring Break, you really need to be flexible with the days you travel or the times you take your flights. Most importantly, remember that websites like priceline.com and www.expedia.com build out their algorithms to sell you packages, so look at hotel, air, and car altogether for your best deals. Often these deals will come with some extra goodies.

Wait ‘Til The Last Minute – If you really don’t know where you want to go, then wait it out until the last minute. There is a great website called lastminutetravel.com that can fill you in on all of the great deals, or many of the major web hotel sites need to get rid of that room or they will eat the cost. So, if you decide to skip the flight and take a drive or the train, you could find yourself picking up a sweet deal on hotel rooms because they don’t want to leave it unbooked.

If you want to set up a time to discuss how to manage your paycheck better, please go to oXYGen Financial to set up an appointment.

]]>https://www.yoursmartmoneymoves.com/2018/03/18/save-money-on-spring-break/feed/012355Bank branches for the digital age: Regions Bank opens 2 innovative locations in Atlanta metro areahttps://www.yoursmartmoneymoves.com/2018/03/13/regions-bank-atlanta/
https://www.yoursmartmoneymoves.com/2018/03/13/regions-bank-atlanta/#respondTue, 13 Mar 2018 19:53:53 +0000http://yoursmartmoney.wpengine.com/?p=12352
Technology is making our lives easier in so many ways. Today, we can access more information, communicate more quickly and cost-effectively, and work more efficiently than ever before. In financial services, innovations are bringing greater convenience, increased transparency and improved security – not only to financial transactions themselves but also to customers’ interactions with their banks. Regions Bank is embracing these changes and is preparing to unveil two new bank branches in the Atlanta metro area. The new branches feature cutting-edge technology combined with a high level of personalized service – all aimed at allowing you to focus more on life and worry less about money. New Regions locations The newest Regions branches are opening at Parkside West in Marietta and Stilesboro Oaks in Acworth, bringing the total of Regions branches in the Atlanta area to 35. In the new branches, you’ll see an improved design and learn how technology can simplify your banking experience. The innovative branches will also allow Regions to offer more personalized advice and education to...]]>

Technology is making our lives easier in so many ways. Today, we can access more information, communicate more quickly and cost-effectively, and work more efficiently than ever before. In financial services, innovations are bringing greater convenience, increased transparency and improved security – not only to financial transactions themselves but also to customers’ interactions with their banks.

Regions Bank is embracing these changes and is preparing to unveil two new bank branches in the Atlanta metro area. The new branches feature cutting-edge technology combined with a high level of personalized service – all aimed at allowing you to focus more on life and worry less about money.

New Regions locations

The newest Regions branches are opening at Parkside West in Marietta and Stilesboro Oaks in Acworth, bringing the total of Regions branches in the Atlanta area to 35.

In the new branches, you’ll see an improved design and learn how technology can simplify your banking experience. The innovative branches will also allow Regions to offer more personalized advice and education to help you reach your financial goals.

New branch features

Regions’ new branches feature a modern look and advanced technology, with features and services that cater to busy employees, families and businesses.

When you visit a new branch, instead of entering a traditional teller line you will be welcomed directly by a Regions Banker, who can provide services ranging from cashing checks and accepting deposits, to opening savings and checking accounts, to helping you develop a financial plan.

All new branches offer the following advanced features and services:

Regions Video Banking ATMs. During extended hours on weekdays, as well as on weekends and most holidays, you can use a Video Banking ATM to connect with a Regions Video Banker via live two-way video. Along with processing most teller transactions, Video Bankers can help with account maintenance and general inquiries.

DepositSmart ATM. The DepositSmart ATM, , can accept deposits and cash checks at any time, day or night.

Facial recognition and fingerprint technology for safe deposit box users. Regions employs several layers of technology to enhance security around safe deposit boxes while making access more efficient for users.

These features and enhanced services will enable the Regions team to serve you in a way that is convenient, accessible and tailored to your needs.

]]>https://www.yoursmartmoneymoves.com/2018/03/13/regions-bank-atlanta/feed/012352How To Use LinkedIn To Make More Moneyhttps://www.yoursmartmoneymoves.com/2018/03/10/how-to-use-linkedin-to-make-more-money/
https://www.yoursmartmoneymoves.com/2018/03/10/how-to-use-linkedin-to-make-more-money/#respondSat, 10 Mar 2018 14:24:29 +0000http://yoursmartmoney.wpengine.com/?p=12346
Most of our articles strictly talk about personal finance, but I thought it would be cool to teach you about how to use the Social Media platform LinkedIn to help you make more money either with your career or your business. Many business owners and individuals that I help at Hyperchat Social (Try Hyperchat Today) often ask about how to generate leads or get a pay raise at work. We know that lead generation is the end all be all problem for most business owners or individuals trying to grow their income. What’s surprising is how many business owners don’t take advantage of free leads that may be right under your nose because you just didn’t realize how to get those leads. Since the beginning of 2017, LinkedIn decided to completely overhaul their platform and interface with LinkedIn users. It shouldn’t come as a surprise to you that LinkedIn is feverishly trying to figure out how to create more recurring revenue income streams. While the primary focused is still on...]]>

Most of our articles strictly talk about personal finance, but I thought it would be cool to teach you about how to use the Social Media platform LinkedIn to help you make more money either with your career or your business.

Many business owners and individuals that I help at Hyperchat Social (Try Hyperchat Today) often ask about how to generate leads or get a pay raise at work. We know that lead generation is the end all be all problem for most business owners or individuals trying to grow their income. What’s surprising is how many business owners don’t take advantage of free leads that may be right under your nose because you just didn’t realize how to get those leads.

Since the beginning of 2017, LinkedIn decided to completely overhaul their platform and interface with LinkedIn users. It shouldn’t come as a surprise to you that LinkedIn is feverishly trying to figure out how to create more recurring revenue income streams. While the primary focused is still on the hiring and placement of jobs, LinkedIn does realize that there is a powerful epicenter between those that want to become a lead and those that need those leads. Here are five ways to use LinkedIn to generate more leads.

Dux-Soup – Dux-Soup is a Google Chrome extension you can find in the Chrome store that can allow you to grow your connections from 500 to 5,000 in a very rapid fashion by using their automation system. Check this one out if you are serious about becoming more connected on LinkedIn that could lead to bigger and better job opportunities.

LinkedIn ProFinder – LinkedIn Profinder which looked like a marketplace for those on LinkedIn that needs various types of products and services and those that could offer those particular services. Profinder listed originally the top 30 or 40 categories for services that individuals were looking for including web design, resume writing, accounting, bookkeeping, legal, real estate and financial services.

LinkedIn Profinder can be found now by finding the WORK button at the top of the navigator toolbar. Once you reach that tool bar, you’ll simply hit the button Profinder and you’ll be redirected to the actual Linkedin Profinder website. From that website, you should automatically be logged in if you are logged into LinkedIn and you can see the entire marketplace of products and services that are offered on LinkedIn. Then you can get FREE leads.

Improve Your Social Selling Score – If you didn’t realize it, LinkedIn actually measures how good of a social seller you are at linkedin.com/sales/ssi and you’ll quickly find out what LinkedIn thinks about you within your network.

Add Publications – If you go to your profile, many people never add additional skills including adding publications to your profile. These publications are a really smart idea for people to click on various offerings you have including e-books, articles, or other places you were mentioned that could get people to learn more about you.

Add Your Mobile Phone Number – With more than half of the viewings of profiles now coming on LinkedIn mobile, one key thing to do is to add your mobile phone and e-mail as the first line on your summary profile. If you do this, then you’ll find your number and e-mail showing front and center when someone visits your mobile profile. This will give you an advantage over your competition in terms of getting contacted.

Do you want to get trained or have me help your business do better with social media? Just go to Hyperchat Social to learn more about how to turn social into sales.

]]>https://www.yoursmartmoneymoves.com/2018/03/10/how-to-use-linkedin-to-make-more-money/feed/012346Four Moves To Make Before Interest Rates Go Uphttps://www.yoursmartmoneymoves.com/2018/03/03/interest-rates-going-up/
https://www.yoursmartmoneymoves.com/2018/03/03/interest-rates-going-up/#respondSat, 03 Mar 2018 15:38:57 +0000http://yoursmartmoney.wpengine.com/?p=12341
It’s been roughly a decade since the housing collapse in the United States, and if you haven’t checked as of late the homes and buildings are going up in your neighborhood like a 2007 party. Part of the main reason for the boom over the past decade was the loosening of the monetary policy keeping long term borrowing rates next to nothing. Those of you who locked in 30-year mortgages between 3% and 4% should thank your lucky stars because we may not see those rates again for another 20 years or more. Now that the United States has hit record low unemployment and corporations across America are making record profits, the Fed is now beginning to tighten the monetary policy. Mortgage rates were between 4.5% and 4.6% for a 30 year mortgage during the week of February 25th, 2018 (source: bankrate.com) So, what four smart money moves can you make as the Fed tightens up the money supply? Cut the ARM off – While most of you have enjoyed...]]>

It’s been roughly a decade since the housing collapse in the United States, and if you haven’t checked as of late the homes and buildings are going up in your neighborhood like a 2007 party. Part of the main reason for the boom over the past decade was the loosening of the monetary policy keeping long term borrowing rates next to nothing.

Those of you who locked in 30-year mortgages between 3% and 4% should thank your lucky stars because we may not see those rates again for another 20 years or more. Now that the United States has hit record low unemployment and corporations across America are making record profits, the Fed is now beginning to tighten the monetary policy. Mortgage rates were between 4.5% and 4.6% for a 30 year mortgage during the week of February 25th, 2018 (source: bankrate.com)

So, what four smart money moves can you make as the Fed tightens up the money supply?

Cut the ARM off – While most of you have enjoyed super low interest rates with Adjustable Rate Mortgages, now would be a good time to consider locking into a long-term mortgage before rates get too high. If you don’t, you could be stuck with an incredibly high interest rate as most ARM’s will cap at 2% growth per year and potentially 9% to 10% long term dependent on your mortgage. Also, some of you took out a 5/1 or 7/1 mortgage that will convert to an ARM sometime soon. This means you may want to run the numbers to consider what a refinance to a 30 year mortgage looks like now before the mortgage converts to an adjustable.

What type of credit card do you have? – Many of you that have credit card debt that you are financing need to be careful about the rising rates on your card as interest rates hike up. You may only be paying 10% or 12% on your credit card now, but if the rate is not fixed currently that rate could quickly rise to 18% to 20% increasing your monthly payments. You may want to check to see if you can fix the interest rate on your card or consider paying down the variable rate cards before rates rise two to three times here in 2018.

The student loans just got worse – For those of you who took out private student loans, you may have chosen a variable rate instead of a fixed rate because at the time interest rates were incredibly low. Now that rates are going up quickly, you might want to look at a website like sofi.com and see if you can lock in a long term interest rate.

Lines Of Credit – For business owners, times have also been really good. If you took out a commercial loan on your property, remember that interest rates typically reset every ten years. This means, you may want to pay down your loan or consider what the cost of the loan will be when interest rates reset. More importantly, if you have to renew a line of credit, consider that the renewal rates could be substantially higher and the spread you used to have to borrow money and put it in float might not be as good as it was even five years ago.

If you want to set up a time to discuss specific investments that you should own as interest rates go up, please go to oXYGen Financial to set up an appointment.

]]>https://www.yoursmartmoneymoves.com/2018/03/03/interest-rates-going-up/feed/012341What’s Best? Buy, Lease, or Rent A Carhttps://www.yoursmartmoneymoves.com/2018/02/23/buy-lease-rent-a-car/
https://www.yoursmartmoneymoves.com/2018/02/23/buy-lease-rent-a-car/#respondFri, 23 Feb 2018 21:09:02 +0000http://yoursmartmoney.wpengine.com/?p=12332
One of the day to day family financial decisions we have to make as adults is whether or not we should buy a car or lease a car. Over the past twelve months, there have also been options popping up across America around the concept of joining a subscription service and renting a car. Making the right decision for your family can potentially not only improve your budget, but it could also improve your lifestyle. Here are my side by side on whether you should buy, lease, or rent a car. Buying A Car – There are lots of considerations when you buy a car, but traditionally I have only been a fan of buying used cars that are two to three years old and the large initial depreciation wears off. You can cover yourself by buying a bumper to bumper 100,000 mile extended warranty if you have concerns about something major happening to the car, but I like the idea of buying cars this way. If you cannot pay...]]>

One of the day to day family financial decisions we have to make as adults is whether or not we should buy a car or lease a car. Over the past twelve months, there have also been options popping up across America around the concept of joining a subscription service and renting a car. Making the right decision for your family can potentially not only improve your budget, but it could also improve your lifestyle. Here are my side by side on whether you should buy, lease, or rent a car.

Buying A Car – There are lots of considerations when you buy a car, but traditionally I have only been a fan of buying used cars that are two to three years old and the large initial depreciation wears off. You can cover yourself by buying a bumper to bumper 100,000 mile extended warranty if you have concerns about something major happening to the car, but I like the idea of buying cars this way. If you cannot pay in cash (which most people cannot), consider my 20/10/4 rule to buying cars.

20 – This means put down 20% down payment on the car to keep the price low. You should double check your overall interest rate to see if putting down less really makes sense, but in general I like putting 20% down like you would on a home.

10 – This means that the monthly payment for the car shouldn’t be more than 10% of your NET monthly income. So, for example, if you make $3,000 a month your monthly payment for the car shouldn’t be more than $300.

4 – This means no more than four years on the loan. By the time the car is seven years old, you’ll likely be looking to trade into a new car and don’t want to have to deal with carrying a loan into the new negotiations.

Leasing A Car – When you lease a car, the good news is that you shouldn’t have to come up with a ton of money out of pocket. You’ll hear the term ‘cap cos reduction’ which is really a fancy way of saying down payment. The important part of leasing a car is to focus on negotiating the price of the car first instead of having the dealership let you negotiate over a monthly payment because they can be very creative in their financing. Once you have agreed on the price, then you can more clearly see how interest rates were used to focus on the payment amount.

What’s nice about leasing, is that every two to three years you can have the excitement about getting into a brand-new automobile. However, leasing can be fraught with perils. You need to read the fine print closely to understand your mileage limitations and your wear and tear responsibilities. In most leases, if you pass a mileage amount such as 10,000 miles or 15,000 miles, the dealership will expect you to owe .25 cents a mile as an example of every mile you drive over the limit. If you have excessive wear and tear, you may be responsible for out of pocket costs to make the car market ready.

If you do choose to lease, you may also want to look into GAP Insurance. This is optional insurance coverage for the new lease that may pay the difference between the balance of the lease due on your vehicle and what your insurance company will pay if the car is considered a covered total loss.

Renting A Car – Most people think renting car means going to Hertz or Avis and picking up a car for a few days. However, the newest phenomenon over the last year has been major auto dealers who have set up a concierge service for an ongoing rental service. So, how does it work?

Ford, Volvo, Cadillac, and Porsche are amongst a few of the dealers who are testing these programs in major cities across America. In these programs, you pay one monthly fee and as opposed to having one car to choose from the dealers give you anywhere from a few cars to one program that has over 20 cars. This means that one week you could drive a convertible, an SUV, a truck, or whatever car you need that particular week giving you flexibility in your driving needs.

The beauty about most of these programs is that you don’t have to carry personal auto insurance anymore (you are on fleet insurance), you have no maintenance requirements, you have no mileage requirements, and yes you don’t even have get your car washed anymore. Each of these programs the concierge element comes into play where the dealer will drop off the new car at your house or work, and then take the old car from you. All you pay for is gas.

The bad news is now you have a car payment forever, but if you like the flexibility of choice of automobiles it may be hard to beat these types of programs.

If you want to set up a time to figure out what option is best for your family, please go to oXYGen Financial to set up an appointment.

]]>https://www.yoursmartmoneymoves.com/2018/02/23/buy-lease-rent-a-car/feed/012332Why Investors Can’t Measure Their Own Risk Tolerancehttps://www.yoursmartmoneymoves.com/2018/02/17/investors-measure-risk-tolerance/
https://www.yoursmartmoneymoves.com/2018/02/17/investors-measure-risk-tolerance/#respondSat, 17 Feb 2018 15:53:46 +0000http://yoursmartmoney.wpengine.com/?p=12326
When people start investing money, one of the exercises they engage in is determining their own risk tolerance. Usually, this process is handled by filling out some sort of questionnaire that has multiple choice questions like the one below. ‘If you had $10,000 to invest, would you….’ Be willing to chance earning 30% growth knowing you could lose 30% Be willing to chance earning 10% growth knowing you could lose only 5% Be willing to lose nothing knowing you could earn no more than 5% We often whisk through these quizzes at a blazing pace because in a simulation exercise we know exactly who we are. However, there are two types of behaviors that we have within our personality. How we act in a natural state when we are relaxed and have no pressure. Then, there is the adaptive state when we are under heavy pressure. Unfortunately, these quizzes don’t really put us under any pressure so they don’t really tell us how we would react when markets are in...]]>

When people start investing money, one of the exercises they engage in is determining their own risk tolerance. Usually, this process is handled by filling out some sort of questionnaire that has multiple choice questions like the one below.

‘If you had $10,000 to invest, would you….’

Be willing to chance earning 30% growth knowing you could lose 30%

Be willing to chance earning 10% growth knowing you could lose only 5%

Be willing to lose nothing knowing you could earn no more than 5%

We often whisk through these quizzes at a blazing pace because in a simulation exercise we know exactly who we are. However, there are two types of behaviors that we have within our personality. How we act in a natural state when we are relaxed and have no pressure. Then, there is the adaptive state when we are under heavy pressure. Unfortunately, these quizzes don’t really put us under any pressure so they don’t really tell us how we would react when markets are in a roller coaster state.

With the Dow having two 1,000 point drops over the past week and fielding tons of investors called, it reminded me that investors truly do not know how to measure risk. Measuring reward is easy. You can clearly see if your 401k is up 20% or down 20% by just opening up your statement and seeing it on the front page. The number that you don’t see is the risk that it took you to get to 20%…until the markets start to turn due South and that is when you turn to the state of panic.

The Dow Jones Industrial Average Index didn’t have a single down month in 2016. Not one. The two main emotional drivers in the stock market are GREED and FEAR. So, when the markets are going up month after month without any sign of slowing down, our cheshire grin of greed is secretly getting larger as we see our statements grow every month. It’s funny, because nobody ever calls up and asks, “Ted, how much did we make today?” or “Ted how much are we up this week?” When the markets are climbing, people just sit back and enjoy what’s happening without hardly any questioning at all.

This is why there is no doubt that FEAR is a much more stronger emotion than GREED. Perhaps three or four times larger in my opinion. The moment that investments start to turn south, everybody wants to know “What’s going on?” and “Is this going to continue?” even though the loss may only happen over a few days and not even months or years. FEAR is the real driver that can tell you what your real risk tolerance is because when the roller coaster hits its first large drop you will really know whether or not you are ready for the ride.

You may think you know how risky you really are and you may be able to answer it in a natural state, but how did you really respond over the past week. If you were too nervous to log in online to see how things did or too nervous to even turn on the television, maybe that should tell you a thing or two on how risky you really want to be. Just because you don’t shoot for double digit returns doesn’t make you a bad person, it just makes you the investor that you really are when you put your money on the line.

Happiness is about expectations met or unmet. If you want to be a happy investor, take a look in the mirror and decide what kind of investor you want to be. Don’t take the losses out on your friends, your family, or your advisors because you don’t know what kind of investor you want to be. Get a real understand on how you want to invest your money with both risk and reward, and you’ll be a much happier investor for the long haul.

]]>https://www.yoursmartmoneymoves.com/2018/02/17/investors-measure-risk-tolerance/feed/012326Five Steps To Build Up An Emergency Cash Reservehttps://www.yoursmartmoneymoves.com/2018/02/10/build-an-emergency-cash-reserve/
https://www.yoursmartmoneymoves.com/2018/02/10/build-an-emergency-cash-reserve/#respondSat, 10 Feb 2018 15:09:20 +0000http://yoursmartmoney.wpengine.com/?p=12320
One of the most important financial planning questions we often hear from clients is around how much money to have in a cash reserve. People struggle with this question because the reality is that there isn’t an exact answer. For many years, the general rule of thumb was to build up three to six months in an emergency reserve in case of emergencies or opportunities. However, some people feel with the availability of credit and other assets that can be readily liquid that they don’t need to keep much money in an account that doesn’t bear much interest. Here are five steps to build up an Emergency Cash Reserve. Determine Your Need This is really the first step in figuring out how much money you need for a cash reserve. Since most transactions are done electronically today, many families really don’t know how much their family ‘burn rate’ each month. What we are talking about is how much your fixed and variable expenses are each month. Once you determine this...]]>

One of the most important financial planning questions we often hear from clients is around how much money to have in a cash reserve. People struggle with this question because the reality is that there isn’t an exact answer. For many years, the general rule of thumb was to build up three to six months in an emergency reserve in case of emergencies or opportunities. However, some people feel with the availability of credit and other assets that can be readily liquid that they don’t need to keep much money in an account that doesn’t bear much interest. Here are five steps to build up an Emergency Cash Reserve.

Determine Your Need

This is really the first step in figuring out how much money you need for a cash reserve. Since most transactions are done electronically today, many families really don’t know how much their family ‘burn rate’ each month. What we are talking about is how much your fixed and variable expenses are each month. Once you determine this amount (let’s say $5,000 a month for example) then you can multiply that number by the rule of thumb of three to six months and that is a good place to start. The real question I find in the planning process is, “how much money in the bank will allow you peace of mind to go to bed at night?” This question will help you pinpoint more in your head what an emergency cash reserve should be for your family. Of course, since most marketable securities are liquid within two business days, you don’t want too much in the bank or you will just safely lose pace to inflation.

Determine Where To Stash Your Cash

When most people think of cash reserves, they think of how much money to keep in their checking account. The WORST place in my opinion to keep a cash reserve is your checking account. For most families, when money sits idly in the checking account it finds a way to slip out the back door and vaporize. So, whether you set up a credit union account, a money market account, or some cash reserve brokerage account, make the cash reserve one step removed from your hands. If you really have trouble building up a cash reserve, you may need a coach or an advisor to help you by just challenging you if you ask to pull money out of the cash reserve.

Build Up By Saving

If you do have disposable income as a family, one step to build up the cash reserve is to set up a systematic savings plan. Whether you do this as a direct deposit from your paycheck or you decide to set up a monthly ACH withdrawal from your checking account to the cash reserve, a systematic out of mind out of sight plan will work best.

Build Up By Selling

If you can’t save on a monthly basis, consider getting your reserves filled up quickly by selling your stuff. I recommend starting with a good old-fashioned garage sale, but instead of accepting cash you should set up an app like Square and get the money directly deposited into your cash reserve account so you don’t spend it right away. If you don’t want to do a garage sale, then begin listing your items on eBay, Craigslist, or other peer to peer sale sites so you can raise the cash for your emergency reserve.

Build Up By Getting A Side Hustle

If you can’t save and you can’t sell, then you should look in the mirror and try to pick up a side hustle. We aren’t even talking about starting a business but using the power of the internet to pick up some way to earn extra cash you didn’t have to fill up that emergency reserve. One great website is www.fiverr.com, where you can take any skill you have from being able to edit an article to drawing a cartoon to earn some extra bucks. Just list your talent on the website and you can begin to get jobs to earn income. One other unique idea is to become licensed to actually officiate and perform a wedding ceremony. You would think that it would be difficult to get a license, but nothing could be further from the truth. You could pick up $250 to $500 a month just by taking a weekend or two and performing a ceremony.

If you want to set up a time to discuss your cash reserve, please go to oXYGen Financialto set up an appointment.

]]>https://www.yoursmartmoneymoves.com/2018/02/10/build-an-emergency-cash-reserve/feed/012320How to Tell a Legit Opportunity From a Pyramid Schemehttps://www.yoursmartmoneymoves.com/2018/02/06/how-to-tell-a-legit-opportunity-from-a-pyramid-scheme/
https://www.yoursmartmoneymoves.com/2018/02/06/how-to-tell-a-legit-opportunity-from-a-pyramid-scheme/#respondTue, 06 Feb 2018 16:29:17 +0000http://yoursmartmoney.wpengine.com/?p=12308
How can you tell whether you’re looking at a great business opportunity or a pyramid scheme? At first glance, telling the two apart may be difficult. Pyramid schemes often resemble multilevel marketing (MLM) opportunities, but major differences exist. First, multilevel marketing is legal while pyramid schemes are not. Multilevel marketing is also capable of generating long-term profits. Pyramid schemes crumble eventually, leaving some people with huge losses or, at the very least, wasted time. Discover some tips for telling the difference between the two. Look at the Products or Services The foundational difference between MLM and pyramid schemes is that legitimate MLM companies make money from selling products or services. You may be able to bring in extra revenue by recruiting people, but you and your company are making most of your profits from selling something with real value to customers, not from signing up new recruits. If you think about well-known direct sales companies such as Amway, one of the oldest and most recognizable companies in the United States that...]]>

How can you tell whether you’re looking at a great business opportunity or a pyramid scheme? At first glance, telling the two apart may be difficult. Pyramid schemes often resemble multilevel marketing (MLM) opportunities, but major differences exist. First, multilevel marketing is legal while pyramid schemes are not. Multilevel marketing is also capable of generating long-term profits. Pyramid schemes crumble eventually, leaving some people with huge losses or, at the very least, wasted time. Discover some tips for telling the difference between the two.

Look at the Products or Services

The foundational difference between MLM and pyramid schemes is that legitimate MLM companies make money from selling products or services. You may be able to bring in extra revenue by recruiting people, but you and your company are making most of your profits from selling something with real value to customers, not from signing up new recruits.

If you think about well-known direct sales companies such as Amway, one of the oldest and most recognizable companies in the United States that sells a range of personal care and household cleaning products, or Avon, a leader in beauty products, you’ll realize they have been successfully operating for decades because these companies offer well-known products that customers love. Sales reps who work with these companies can make extra money by recruiting and training others, but that avenue isn’t where most of the company’s income comes from.

Ask yourself: Is the emphasis on selling products or on recruiting people?

Weigh the Sign-Up Fees

Pyramid schemes may offer a product or service, but most of the energy is in recruiting. A large part of the revenue comes from the hefty sign-up fees that these companies charge new investors. Legitimate companies often charge a small fee to cover sales materials, catalogs, samples, and other necessary supplies.

Avon representatives can get started with as little as $20 and can invest in the sales supplies they think they need at a reasonable cost. Amway charges a registration fee of $65 and offers a money-back guarantee. High sign-up fees or a requirement to buy much inventory to get started is a sign of a pyramid scheme.

Ask yourself: Are the start-up costs reasonable for what you’re getting? Are you in control of how much inventory to order?

Look for Realistic Promises

Direct selling is difficult. You have to build a network of customers, persuade them to try your products, offer them good customer service, and try to set up repeat sales with them. A multilevel marketer will stress that the work of selling products is the biggest part of your job. In a pyramid scheme, you’re being sold on the idea of building wealth without effort. Your supposed riches will come from recruiting others who will make money from recruiting others and so on. Only the people at the top of the pyramid are making money, and they’re making it from you.

Ask yourself: Does this idea sound like a job or a get-rich-quick scheme?

Understand the Commission Structure

A legitimate opportunity should have a clear-cut commission structure. The structure may not be simple; your level of commission may be stair-stepped so that you make more when you have higher sales, for example, or you may get additional revenue from selling specific products or recruiting other reps. But if the structure is so complicated you can’t understand it, something is being hidden from you. Don’t get involved in a “business” that can’t tell you exactly where your earnings originate.

Ask yourself: Do I understand exactly where my earnings will come from?

Don’t Cave to Pressure

Since a legitimate MLM or direct sales company makes its money from selling products to people outside the company, you don’t need to pressure people to join the organization. If people are putting pressure on you to sign up now, just say no.

Ask yourself: Am I being treated with respect or being pushed into signing up today?

Pyramid schemes always fail. After a few levels, those behind them need to recruit more people than the population of the United States to stay viable. Legitimate opportunities focus on selling to people outside the company and providing a stable income for someone with true sales talent and initiative.

]]>https://www.yoursmartmoneymoves.com/2018/02/06/how-to-tell-a-legit-opportunity-from-a-pyramid-scheme/feed/012308Four Things You May Not Know About 529 Planshttps://www.yoursmartmoneymoves.com/2018/02/04/about-529-plans/
https://www.yoursmartmoneymoves.com/2018/02/04/about-529-plans/#respondSun, 04 Feb 2018 15:05:28 +0000http://yoursmartmoney.wpengine.com/?p=12302
As much discussion as there is about trying to control the cost of college education, just talk to any parent who is paying to deal with college that no gravity is defying this rising cost. Amidst all of the projections you read on the college websites, when you add in the cost of your family travel, stops at the bookstore, and home care packages, the overall cost to send your child away for a four-year degree could cost you a long delay in your retirement. In the mid 1990’s Section 529 of the Internal Revenue Code was created. In 1997 (just twenty years ago) Section 529 was amended by the Taxpayer Relief Act, which provided a handful of higher education tax incentives including the deductibility of student loan interest. We know how much children are struggling with student loans, and in 2001 the earnings on 529 plans became completely tax free if they were used for college. As people learn more and more about the power of 529 plans, here...]]>

As much discussion as there is about trying to control the cost of college education, just talk to any parent who is paying to deal with college that no gravity is defying this rising cost. Amidst all of the projections you read on the college websites, when you add in the cost of your family travel, stops at the bookstore, and home care packages, the overall cost to send your child away for a four-year degree could cost you a long delay in your retirement.

In the mid 1990’s Section 529 of the Internal Revenue Code was created. In 1997 (just twenty years ago) Section 529 was amended by the Taxpayer Relief Act, which provided a handful of higher education tax incentives including the deductibility of student loan interest. We know how much children are struggling with student loans, and in 2001 the earnings on 529 plans became completely tax free if they were used for college. As people learn more and more about the power of 529 plans, here are FOUR things you may not know about 529 plans.

529’s MAY be eligible for private elementary or secondary school

A new tax law went into effect on Jan. 1, leaving states scrambling to implement provisions that let families tap state-sponsored college savings plans for private elementary or secondary schools without owing taxes on the withdrawal.

Uncle Sam has given families the green light to use $10,000 per child each year to pay for private schools out of 529 savings plans, but parents cannot count on states to give them the same tax break. The key here is for you to check whether or not your state will allow you to use the earnings on your 529 plan tax-free for private or secondary school.

This law is a fairly new law, but one that you should consider closely if you have younger children that you are certain you will be sending to private school.

Your State MAY offer multiple plans

There is a great website Saving For College that ranks and rates the various plans in each state. However, often financial advisors will sell clients a 529 plan that has a fee or commission attached to it without helping them understand that they may be able to get a similar plan where they won’t pay fees or commissions. Recently, I ran into a situation in Ohio where I met someone who was paying a 5% up front commission to buy an Ohio plan when there was a similar plan that was offered at no up front commission. The biggest one we see out there is that brokers will offer the Virginia Plan versus a client’s home state plan because there are commissions to be earned on the plan. Some states like Georgia only offer a plan that can be bought direct and without any broker. Often, 529 plans offer limited investment choices, so you will need to determine on your own if you need advisor assistance. Make sure to do your homework in your state.

Be careful about off campus housing

529 Plans are eligible for room and board, but you should check your state’s plan to see what is covered for off campus housing. When it comes to your child’s off campus housing, those expenses must not exceed the room and board allowance included in the cost of attendance determined by your college or university.

Generally, the amount that is allowable for room and board costs can easily be attained on the school website or contacting the admissions office.

If room and board is $3,500 per semester or $7,000 for the school year, you need to be careful if the rent for your son or daughter exceeds this amount when you report the withdrawals from the 529 plan.

You Can Be Your Own Beneficiary

Perhaps all of your children don’t use up the allotted amount you set up in the 529 funds. Many people do know that you can change the beneficiary to a niece or nephew, but they don’t realize that they can name themselves as beneficiary as well. This means if you want to go back for an MBA, executive education, or some additional college training, you could use those funds for your own development tax-free.

]]>https://www.yoursmartmoneymoves.com/2018/02/04/about-529-plans/feed/012302The Best Five Places To Invest In 2018https://www.yoursmartmoneymoves.com/2018/01/28/best-places-to-invest/
https://www.yoursmartmoneymoves.com/2018/01/28/best-places-to-invest/#respondSun, 28 Jan 2018 16:57:14 +0000http://yoursmartmoney.wpengine.com/?p=12296
We are a few weeks into 2018, and you might be wondering where are the best five places to invest for the rest of 2018. With the stock markets hitting all time highs, cloudiness over the rise in interest rates, and the bitcoin practically on the news every day, this can make sorting out the best place to invest difficult for the average investor. As we sort through all of the mazes of information and news, here are five places you should consider investing for the rest of 2018. Artificial Intelligence – AI’s growing market potential, which is estimated to be worth $46 billion dollars in just three years from has several paths to consider when investing. AI can seem confusing to people, but consider something just as Amazon’s just walk out technology http://bit.ly/2rnY8YJ or the new bill shopping chatbot Ask Trim which can automatically shop bills such as your cable bill or mobile phone bill. AI can be used to identify photos of your friends and also learn your...]]>

We are a few weeks into 2018, and you might be wondering where are the best five places to invest for the rest of 2018. With the stock markets hitting all time highs, cloudiness over the rise in interest rates, and the bitcoin practically on the news every day, this can make sorting out the best place to invest difficult for the average investor. As we sort through all of the mazes of information and news, here are five places you should consider investing for the rest of 2018.

Artificial Intelligence – AI’s growing market potential, which is estimated to be worth $46 billion dollars in just three years from has several paths to consider when investing. AI can seem confusing to people, but consider something just as Amazon’s just walk out technology or the new bill shopping chatbot Ask Trim which can automatically shop bills such as your cable bill or mobile phone bill. AI can be used to identify photos of your friends and also learn your behavior as we have learned with Amazon’s Alexa.

International Investing – While many people were blown away by stock market returns in 2017, consider that the international markets actually did better than US markets last year. The S & P 500 was up over 18% last year while the ex-US International Index was up over 24% in 2017. European stocks are trading at a price/earnings ratio (a widely used measure to gauge how frothy stocks are) of around 20, based on 10 years of averaged profits. That’s about a 30% discount to the average P/E for U.S. equities, according to figures tracked by Barclays, even though historically U.S. and foreign shares have traded roughly on par with one another.

Mobile Payments – It’s unclear when we will actually get to a digital cashless society, but what is clear is that countries including Sweden and Singapore are moving closer and closer to not having cash at all. Only about 20% of people in the United States still pay their bills with checks. According to Retail Dive, mobile payments volume in the US was expected to total $112 billion in 2016 and grow at 20 percent compound annual growth rate until it reaches $282 billion by 2021, according to a report from Forrester. The report, Forrester’s Mobile Payments Forecast, looked at the volume of mobile payments being made in the US and where they are coming from, analyzing the causes and potential future of the industry. When you consider technologies now such as Apple Pay, Square, Paypal, and Venmo, this sector is just beginning its growth.

Medical Robotics – There are many areas and facets of growth in this sector, but robotic surgery with use of the da Vinci machines is probably one of the most well known. Robotic surgery is a type of minimally invasive surgery. “Minimally invasive” means that instead of operating on patients through large incisions, we use miniaturized surgical instruments that fit through a series of quarter-inch incisions. When performing surgery with the da Vinci Si—the world’s most advanced surgical robot—these miniaturized instruments are mounted on three separate robotic arms, allowing the surgeon maximum range of motion and precision. The da Vinci’s fourth arm contains a magnified high-definition 3-D camera that guides the surgeon during the procedure. With the rising cost of health care, it is certain that robotics within the health care infrastructure will only rise in significance over the next five years.

Peer To Peer Lending – If you are worried about interest rates and how that will impact your bond funds, then consider looking at Peer-to-Peer type investing. Three potential ideas are Lending Club, Prosper, and Streetshares. With something like Lending Club, you can literally make a loan as low as $25 to another individual and choose the level of risk you take with that particular investor by their FICO score. The higher of a FICO score you pick, the lower the interest rate that you will receive. In this type of fixed income model, you are going to work harder to manage your default risk versus your interest rate risk, but a possible idea as a bond substitute if you are worried about rising interest rates.

If you want to set up a time to discuss specific investments in these areas, please go to oXYGen Financial to set up an appointment.

]]>https://www.yoursmartmoneymoves.com/2018/01/28/best-places-to-invest/feed/012296The Best 2018 Tax Moves To Make Nowhttps://www.yoursmartmoneymoves.com/2018/01/20/best-2018-tax-moves/
https://www.yoursmartmoneymoves.com/2018/01/20/best-2018-tax-moves/#respondSat, 20 Jan 2018 15:28:40 +0000http://yoursmartmoney.wpengine.com/?p=12289
As the new tax law goes into effect, many people are starting to wonder how this will affect their overall paychecks. You should see some bump in your paychecks when the new tax tables go into effect somewhere in Mid-February or early March, but there are a host of financial decisions that you need to start considering now in order to maximize your own tax situation. Adjust your withholdings – It’s ironic that most people give themselves a high five when they get a refund come tax time. Not only do you allow the Government the use of your money for a year, you also get taxed on your own state refund federally the following year. Since we have new tax brackets and tax tables, you should really look at your withholdings here in the spring to maximize your cash flow here in 2018. Remember, if you are getting your taxes done, Turbo Tax and Tax Slayer are two low cost options if your taxes aren’t complicated. It might...]]>

As the new tax law goes into effect, many people are starting to wonder how this will affect their overall paychecks. You should see some bump in your paychecks when the new tax tables go into effect somewhere in Mid-February or early March, but there are a host of financial decisions that you need to start considering now in order to maximize your own tax situation.

Adjust your withholdings – It’s ironic that most people give themselves a high five when they get a refund come tax time. Not only do you allow the Government the use of your money for a year, you also get taxed on your own state refund federally the following year. Since we have new tax brackets and tax tables, you should really look at your withholdings here in the spring to maximize your cash flow here in 2018. Remember, if you are getting your taxes done, Turbo Tax and Tax Slayer are two low cost options if your taxes aren’t complicated.

It might be time to convert -. With the tax brackets changing this year, especially the bottom four tax brackets at 10%, 12%, 22%, and 24%, you might want to consider looking at a partial or full conversion of your Traditional IRA to a Roth IRA depending on your overall tax bracket. It’s possible here in 2018 that you start a business that will show a tax loss or you have an off year in your income which also may allow you a special conversion year of your Traditional IRA to a Roth IRA.

Should you MOVE? – One of the major tax law changes is that your state income taxes, local income taxes, and your property taxes are going to be capped at $10,000 here in 2018. Is it time to call Two Men And A Truck and think about moving to a state where you have ZERO state income tax. There are major states including Texas, Florida, Washington, Tennessee, Nevada, and a few more that you will pay no state income tax. If you don’t love where you live and your job could give you the mobility to move to another state, this could be perfect opportunity to take advantage of this in 2018.

Will Smith Turns 50 – Yes, I said it, Will Smith turns 50 this year! If you saw the list of celebrities who turn 50, I think you’d gasp at how old all of us are getting. That being said, the IRS changed the contributions for maximum investment this from $18,000 to $18,500 and for those of you who turn 50 in THIS calendar year you should make sure to set up your $6,000 catch up contribution for your 401k. That could sure put some extra tax money in your pocket while also helping you save more for retirement.

529 Isn’t Just College Anymore – This may be the year to completely rethink your saving strategy for private elementary and secondary school instead of college with your 529 plan. As the tax law changed this year, you can now use 529 plans for private school up to $10,000 per year. If you have younger children and you feel confident that they are going to attend private school for their K-12 education, then there is a smarter strategy here allowing some of those tuition dollars to grow tax-deferred and ultimately come out tax-free for private school.

Downsize – If you really believe high dollar residential real estate is going to continue to grow in your area, then you can brush this one aside. However, if you think about the cost of owning a McMansion type home, you might want to consider downsizing with the two new tax rules that went into effect. For one, NEW mortgages will be capped at $750,000 for the mortgage interest deduction, and as mentioned earlier in the article property taxes (combined WITH state and local taxes) will be capped at $10,000.

]]>https://www.yoursmartmoneymoves.com/2018/01/20/best-2018-tax-moves/feed/012289Can Amazon Get Bigger?https://www.yoursmartmoneymoves.com/2018/01/15/can-amazon-get-bigger/
https://www.yoursmartmoneymoves.com/2018/01/15/can-amazon-get-bigger/#respondMon, 15 Jan 2018 20:20:42 +0000http://yoursmartmoney.wpengine.com/?p=12315
Well, Yes. It seems all we heard about in 2017 was Amazon, Amazon, Amazon. Weather it was the news of their purchase of Whole Foods, the super successful PrimeDay event, or the addition live Thursday Night NFL games on their video service; it seems that CEO Jeff Bezos (the richest man on the planet) knows exactly how to make Amazon grow. When you look at one of Amazon’s biggest competitors, Wal-Mart; you will see that Amazon’s Market Capitalization is almost double that of Walmart ($558Billion to $286B)1. But the interesting number is annual sales revenue. Walmart is crushing it at number one in the world at $486 Billion annually. While Amazon is only at $89B per year. This might be an indication that there is still plenty of revenue to gain from the competition. So how is Mr. Bezos going to grow Amazon in 2018. Business to Business. Amazon’s business platform lets small businesses order supplies from other businesses. Their prowess in logistics allows them to smooth out the process....]]>

Well, Yes.

It seems all we heard about in 2017 was Amazon, Amazon, Amazon. Weather it was the news of their purchase of Whole Foods, the super successful PrimeDay event, or the addition live Thursday Night NFL games on their video service; it seems that CEO Jeff Bezos (the richest man on the planet) knows exactly how to make Amazon grow.

When you look at one of Amazon’s biggest competitors, Wal-Mart; you will see that Amazon’s Market Capitalization is almost double that of Walmart ($558Billion to $286B)1. But the interesting number is annual sales revenue. Walmart is crushing it at number one in the world at $486 Billion annually. While Amazon is only at $89B per year. This might be an indication that there is still plenty of revenue to gain from the competition. So how is Mr. Bezos going to grow Amazon in 2018.

Business to Business. Amazon’s business platform lets small businesses order supplies from other businesses. Their prowess in logistics allows them to smooth out the process.

International. India, Mexico and Australia could be options that you see Amazon expand into. India alone is a $1.1 trillion retail opportunity.

Core Retail Business. While an RBC Capital survey shows a high adoption rate to the Prime Service, there still is growth opportunities in the company’s apparel, consumables, and food categories. Amazon continues to show that they can get people to spend more money on their platform. The survey shows that the average Prime user, spends about $800 per year on their site.

Advertising. With a growing number of eyeballs on their pages, Amazon should leverage their massive database to increase their advertising revenue in 2018.

While it is not all roses for Amazon, it is hard to see the company slow down anytime soon. And we have not even seen what they are going to do with Whole Foods.

*1 Revenue and Market Cap numbers from Yahoo Finance.com

]]>https://www.yoursmartmoneymoves.com/2018/01/15/can-amazon-get-bigger/feed/0123155 2018 Sticky Financial New Year’s Resolutionshttps://www.yoursmartmoneymoves.com/2018/01/14/financial-new-years-resolutions/
https://www.yoursmartmoneymoves.com/2018/01/14/financial-new-years-resolutions/#respondSun, 14 Jan 2018 15:53:45 +0000http://yoursmartmoney.wpengine.com/?p=12281
It’s 2018, and that means that most of you have made at least one New Year’s resolution. For most of you it will surround either diet or exercise, but for some of you getting your financial plan in order may rise to the top of the list. With the average American now surpassing more than $16,000 of household credit card debt, it may appear that feeling flush has left us spending out of control. In your smart money moves fashion, here are my ideas for a sticky 2018 financial New Year’s resolution that can help you grow your bottom line. Get Your Financial House In Order Set Up An Online Account Aggregation System – At oXYGen Financial, we have been using a personal financial dashboard for almost 10 years in helping our clients get their financial house in order. You can learn more about this by going to oXYGen Financial, but there are also other systems online including Mint and others that allow you aggregate your data Set Up An...]]>

It’s 2018, and that means that most of you have made at least one New Year’s resolution. For most of you it will surround either diet or exercise, but for some of you getting your financial plan in order may rise to the top of the list. With the average American now surpassing more than $16,000 of household credit card debt, it may appear that feeling flush has left us spending out of control. In your smart money moves fashion, here are my ideas for a sticky 2018 financial New Year’s resolution that can help you grow your bottom line.

Get Your Financial House In Order

Set Up An Online Account Aggregation System – At oXYGen Financial, we have been using a personal financial dashboard for almost 10 years in helping our clients get their financial house in order. You can learn more about this by going to oXYGen Financial, but there are also other systems online including Mint and others that allow you aggregate your data

Set Up An Online Safety Deposit Box- We also knew that electronic storage was going to be a big win for families because most of your financial information is still literally sitting in a filing cabinet. You can sit with our staff and we can help upload and organize all of your electronic files in one place. There are also other systems out there including Everplans where you can set up an online value as well.

Balance Your Personal Family Budget

Set Up A Family Profit (or Loss) Spending Plan – (We don’t want to use the “B” word for Budget) because budget seems to be such an ugly word. However, you need to treat your family finances like the way you run a profit and loss statement for your company. It’s important to recognize that no family has an infinite amount of revenue, so you need to determine the best ways to make your family more profitable.

Goal: 50/30/20 Rule – (50% of cash flow to fixed expenses, 30% to variable expenses, 20% to savings) We used to discuss this mostly as the pay yourself rule, but it is also important to realize that the reason people live paycheck to paycheck is that they have lost transparency of their money. Consequently, they just don’t know which money really goes to fixed expenses and which are going to variable expenses. My outline here is good rough outline to determine if you are in the correct spending lanes.

Get Down To Two Credit Cards

Average family credit card debt now over $16,000- This is sobering statistics. The key with your resolution is to get down to two credit cards. (i.e. one amex and one visa (unless you have a business))

Avoid store cards at all cost due to the interest rate that they charge you. The finance charges can run up to 29.99% if you aren’t careful to read the fine print.

Increase Your Savings By Just 1%

With the new tax law, you should see a 1% to 3% increase in your paycheck sometime in early March or even mid-February. You should act as if it happened right now, and set up online with your 401(k) plan now to increase your 401(k) savings by at least 1% or get the new maximum of $18,500. You could also set up a systematic savings plan into an investment account ($25 or $50 a month) more than you are doing today into a Roth IRA or a brokerage account as well.

Take Advantage Of Free Money

Coupon more with SnipSnap – This could be one of your easiest ways to save money by simply taking a snapshot of coupons you see and your phone will turn them into a mobile app. Even though coupons are more accessible than they have ever been before, people don’t take advantage of the free money

Don’t forget to also reassess your overall frequent flyer points as you consider where you will take your 2018 trips or 2018 large purchases you need to make.

Is it time to start your 2018 resolution off to the right foot? E-mail us at contact@oxygenfinancial.net to get your financial plan done here in 2018.

]]>https://www.yoursmartmoneymoves.com/2018/01/14/financial-new-years-resolutions/feed/012281Five Tips To Improve Your Credit Scorehttps://www.yoursmartmoneymoves.com/2018/01/08/five-tips-to-improve-your-credit-score/
https://www.yoursmartmoneymoves.com/2018/01/08/five-tips-to-improve-your-credit-score/#respondMon, 08 Jan 2018 19:03:57 +0000http://yoursmartmoney.wpengine.com/?p=12312
It’s never too late to improve how you use credit. Whether your credit score is high or could use some work, here are some tips to maintain your best credit score. BE ALERT. Checking your credit history for errors or unfamiliar/suspicious activity should be done on a regular basis. Identity theft is a problem, and if left undetected, can harm your credit. Georgia state law enables consumers the right to a free credit report once each year. You can pull your report at www.annualcreditreport.com. BE ON TIME. One of the biggest factors in pulling down your credit score is paying bills late. Pay on time every month and you will see your score rise. APPLY FOR CREDIT ONLY WHEN NEEDED. Only apply for new credit cards if you really need them. Multiple loan applications within a short time period will often harm your credit score. CREDIT UTILIZATION RATE. Your credit utilization rate is your total amount of debt divided by your total amount of available credit. Keeping your balances low...]]>

It’s never too late to improve how you use credit. Whether your credit score is high or could use some work, here are some tips to maintain your best credit score.

BE ALERT. Checking your credit history for errors or unfamiliar/suspicious activity should be done on a regular basis. Identity theft is a problem, and if left undetected, can harm your credit. Georgia state law enables consumers the right to a free credit report once each year. You can pull your report at www.annualcreditreport.com.

BE ON TIME. One of the biggest factors in pulling down your credit score is paying bills late. Pay on time every month and you will see your score rise.

APPLY FOR CREDIT ONLY WHEN NEEDED. Only apply for new credit cards if you really need them. Multiple loan applications within a short time period will often harm your credit score.

CREDIT UTILIZATION RATE. Your credit utilization rate is your total amount of debt divided by your total amount of available credit. Keeping your balances low (30% is a common bench mark) should help your credit. For example, if your credit limit on a credit card is $5,000, you are encouraged to maintain a balance of $1,500 or lower.

DON’T CLOSE CREDIT ACCOUNTS. As long as you’re in good standing with your existing credit cards, consider keeping them open, even if you don’t use them. Closing them not only hits your score the same way as applying, but reduces your available credit and affects your utilization rate.

CREDIT REPAIR. It is important that you know that many ‘credit repair’ services are scams. Please learn more about credit repair before you seek this type of service. Please see this article from the Federal Trade Commission, ]]>

https://www.yoursmartmoneymoves.com/2018/01/08/five-tips-to-improve-your-credit-score/feed/012312What Itemized Deductions Will Look Like In 2018https://www.yoursmartmoneymoves.com/2018/01/06/itemized-tax-deductions-2018/
https://www.yoursmartmoneymoves.com/2018/01/06/itemized-tax-deductions-2018/#respondSat, 06 Jan 2018 15:43:38 +0000http://yoursmartmoney.wpengine.com/?p=12274
To itemize or not to itemize, that is the question? With all of the tax law changes recently passed by President Trump in the GOP tax bill, one of the considerations you’ll need to get your arms wrapped around quickly is whether you will want to itemize your deductions when you file your taxes in 2019 or you will simply use the standard deduction. For 2018, the standard deduction amounts will increase from $6,500 for individuals, $9,550 for heads of households (HOH), and $13,000 for married couples filing jointly, to $12,000 for individuals, $18,000 for HOH, and $24,000 for married couples filing jointly. Since the personal exemption is being completely eliminated, you’ll need to do the math about whether this was a good deal for you or not. For those married couples filing jointly, if you have three or more children, I actually think you went backwards on the new tax plan if you were filing the standard deduction. For families who own a home and make a considerable amount...]]>

To itemize or not to itemize, that is the question? With all of the tax law changes recently passed by President Trump in the GOP tax bill, one of the considerations you’ll need to get your arms wrapped around quickly is whether you will want to itemize your deductions when you file your taxes in 2019 or you will simply use the standard deduction.

For 2018, the standard deduction amounts will increase from $6,500 for individuals, $9,550 for heads of households (HOH), and $13,000 for married couples filing jointly, to $12,000 for individuals, $18,000 for HOH, and $24,000 for married couples filing jointly. Since the personal exemption is being completely eliminated, you’ll need to do the math about whether this was a good deal for you or not. For those married couples filing jointly, if you have three or more children, I actually think you went backwards on the new tax plan if you were filing the standard deduction.

For families who own a home and make a considerable amount of income, itemizing your deductions will likely be the way to go, but you’ll need to crank out the math based upon which deductions got capped and which ones were completely eliminated.

Sched A and outline of deductions (source: Forbes)

Here’s how Schedule A will be affected for the 2018 tax year following tax reform (numbers correspond to the numbers in the blue circles on Schedule A):

Medical and Dental Expenses. Medical and dental expenses remain in place with a lower floor. We call it the “floor” because you can only deduct expenses over that number. The floor – before tax reform – was 10% of your adjusted gross income (AGI). Here’s how it worked. Let’s say your AGI is $40,000 and your medical expenses were $5,000. Assuming you itemized, you could claim $1,000 as a deduction, or $5,000 in expenses less the floor (10% x $40,000 = $4,000).

Under tax reform, the 7.5% floor is back in place for two years beginning January 1, 2017 – that means that it applies to the 2017 tax year. So assuming the same facts above, you can claim $2,000 as a deduction, or $5,000 in expenses less the floor (7.5% x $40,000 = $3,000).

Again, unlike most of the provisions in the bill, the provision is effective retroactively to the beginning of this year – so you’ll see this change on your 2017 and your 2018 tax returns.

State and Local Taxes. Under tax reform, deductions for state and local sales, income, and property taxes normally deducted on a Schedule A remain in place but are limited (see #3 below). Foreign real property taxes may not be deducted under this exception.

SALT caps. While SALT deductions remain in place, there is a cap on the aggregate, meaning that the amount that you are claiming for all state and local sales, income, and property taxes together may not exceed $10,000 ($5,000 for married taxpayers filing separately).

State, local, and foreign property taxes, and sales taxes which are deductible on Schedule C, Schedule E, or Schedule F are not capped. This means that, for example, rental property – even if held individually and not in a separate entity – remains deductible and not subject to these limitations.

And yes, Congress already knows what you’re planning, so amounts paid in 2017 for state or local income tax which is imposed for the 2018 tax year will be treated as paid in 2018. In other words, you can’t pre-pay your 2018 state and local income taxes in 2017 to avoid the cap. There is not, to date, a similar restriction for property taxes.

Home Mortgage Interest. So, first, the home mortgage interest deduction didn’t disappear. But it did get modified. Here’s what you need to know. First, the definition of acquisition indebtedness is important: It’s indebtedness that is incurred in acquiring, constructing, or substantially improving a qualified residence of the taxpayer and which secures the residence. Home equity indebtedness is indebtedness other than acquisition indebtedness that is secured by a qualified residence. Those distinctions are important (more in a moment) no matter what they’re called by you or by the bank.

As of December 15, 2017, there’s a limit on acquisition indebtedness – your mortgage used to buy, build or improve your home – of $750,000 ($375,000 for married taxpayers filing separately). For mortgages taken out before December 15, 2017, the limit is $1,000,000 ($500,000 for married taxpayers filing separately). It’s even more complicated because beginning in 2026, the cap goes back up to $1,000,000, no matter when you took out the mortgage.

And here’s where that definition is super important: For tax years 2018 through 2025, there is no deduction available for interest on home equity indebtedness.

Charitable donations. Charitable donations remain deductible under tax reform. The rules are largely the same with a few changes. First, the percentage limit for charitable for cash donations by an individual taxpayer to public charities and certain other organizations increases from 50% to 60%. Two, taxpayers are no longer entitled to deduct payments made to a college or college athletic department (or similar) in exchange for college athletic event ticket or seating rights at a stadium. Those provisions are effective beginning in 2018.

Effective beginning in 2017, the provision which allows for an exception to the substantiation rule if the donee organization files a return is repealed. What this means to taxpayers: Always get a receipt.

Casualty and Theft Losses. The deduction for personal casualty and theft losses is repealed for the tax years 2018 through 2025 except for those losses attributable to a federal disaster as declared by the President (generally, this is meant to allow some relief for victims of Hurricanes Harvey, Irma, and Maria).

Job Expenses and Miscellaneous Deductions subject to 2% floor. Miscellaneous deductions which exceed 2% of your AGI will be eliminated for the tax years 2018 through 2025. This includes deductions for unreimbursed employee expenses and tax preparation expenses. To be clear, it includes expenses that you incur in your job that are not reimbursed, like tools and supplies; required uniforms not suitable for ordinary wear (like those ABBA costumes); dues and subscriptions; and job search expenses. These expenses also include unreimbursed travel and mileage, as well as the home office deduction.

Please note that the elimination of unreimbursed employee expenses only affects taxpayers who claim an employee-related deduction on Schedule A. If, as a business owner, you typically file a Schedule C, your business-related deductions are not affected by the elimination of Schedule A deductions.

Itemized Deductions. The overall limit on itemized deductions is suspended for the tax years 2018 through 2025.

It’s probably the best time of year to get your plan up and going, so make sure you make an appointment to meet with a Private CFO® at oXYGen Financial!

]]>https://www.yoursmartmoneymoves.com/2018/01/06/itemized-tax-deductions-2018/feed/012274Never Worry About a Traffic Ticket Againhttps://www.yoursmartmoneymoves.com/2018/01/03/traffic-ticket-help/
https://www.yoursmartmoneymoves.com/2018/01/03/traffic-ticket-help/#respondWed, 03 Jan 2018 16:07:09 +0000http://yoursmartmoney.wpengine.com/?p=12270
We all (well, most of us) have been in this dreaded position before. You’re in the car, listening to music or your new favorite podcast, and you hear sirens. You start pleading: “No, no, no, please not me. Not today.” It is when the police car does not pass you by & the blue lights stick around that you realize a ticket is most likely in your future. Minor traffic violations that result in a ticket are more of a nuisance than anything. Traffic tickets can not only result in an increase in insurance premium, but the most annoying part is often initially when 1) you have to pay an extra expense this month that you weren’t budgeting for and 2) you really just don’t have the time. This is where the new startup TIKD comes in. They know your struggle, and using their own phrase, they want to be your “Traffic Ticket Champion.” You simply enter the amount of your traffic fine, upload a picture of your traffic ticket,...]]>

We all (well, most of us) have been in this dreaded position before. You’re in the car, listening to music or your new favorite podcast, and you hear sirens. You start pleading: “No, no, no, please not me. Not today.” It is when the police car does not pass you by & the blue lights stick around that you realize a ticket is most likely in your future.

Minor traffic violations that result in a ticket are more of a nuisance than anything. Traffic tickets can not only result in an increase in insurance premium, but the most annoying part is often initially when 1) you have to pay an extra expense this month that you weren’t budgeting for and 2) you really just don’t have the time.

This is where the new startup TIKD comes in. They know your struggle, and using their own phrase, they want to be your “Traffic Ticket Champion.” You simply enter the amount of your traffic fine, upload a picture of your traffic ticket, and pay a fee online through their site (which is always lower than your ticket amount according to CNN). That’s it. There are no gimmicks, no hidden fees, and no additional charges from the company. TIKD then uses qualified and experienced attorneys to challenge your ticket in court to either get the charges dismissed or lower the fine. Any charges incurred in court are paid for by TIKD. I know what you’re thinking, and the answer is yes, TIKD will still pay the full price of your ticket at the end of the process even if it’s higher than what you paid them. Best of all, if you still end up with points on your license they will refund you the money you paid to them AND pay the price of the traffic ticket for you.

It may seem too good to be true, but TIKD assures on their website they have figured out the traffic ticket game and they know on average how much each particular type of ticket will cost all-in. For you lucky folks in Atlanta, Washington D.C., and some parts of Florida & Maryland you can start using TIKD immediately for your next traffic ticket.

If you are too busy with everyday life and don’t want to deal with your next traffic ticket, TIKD may be for you.

The opinions expressed in this commentary are those of the author and may not necessarily reflect those held by Kestra Investment Services, LLC or Kestra Advisory Services, LLC. This is for general information only and is not intended to provide specific investment advice or recommendations for any individual. It is suggested that you consult your financial professional, attorney, or tax advisor with regard to your individual situation.

]]>https://www.yoursmartmoneymoves.com/2018/01/03/traffic-ticket-help/feed/012270Five Items To Buy After Christmashttps://www.yoursmartmoneymoves.com/2017/12/31/five-items-to-buy-after-christmas/
https://www.yoursmartmoneymoves.com/2017/12/31/five-items-to-buy-after-christmas/#respondSun, 31 Dec 2017 13:57:36 +0000http://yoursmartmoney.wpengine.com/?p=12265
When the Starbuck’s Christmas cups go away and your neighbors begin to take down their decorations, the last thing in the world you probably want to do is to be thinking about shopping considering you’ve been fretting about it for the past month. While it may feel like we get deals galore thrown in front of our faces during the month of December, once Christmas season is over, you may be able to snag yourself a really good deal if you know what to buy. I’ve put together a quick your smart money moves guide on five items you might want to consider buying after December 25th (mind you that it’s probably better about the second week of January). Electronics – While you can get a really good deal on video game consoles and cameras, the one electronic I would really keep my eye on are high definition televisions. Remember, each January the Consumer Electronics Show takes place in Las Vegas where hundreds of new electronic products are introduced into...]]>

When the Starbuck’s Christmas cups go away and your neighbors begin to take down their decorations, the last thing in the world you probably want to do is to be thinking about shopping considering you’ve been fretting about it for the past month. While it may feel like we get deals galore thrown in front of our faces during the month of December, once Christmas season is over, you may be able to snag yourself a really good deal if you know what to buy. I’ve put together a quick your smart money moves guide on five items you might want to consider buying after December 25th (mind you that it’s probably better about the second week of January).

Electronics – While you can get a really good deal on video game consoles and cameras, the one electronic I would really keep my eye on are high definition televisions. Remember, each January the Consumer Electronics Show takes place in Las Vegas where hundreds of new electronic products are introduced into the marketplace. What you really want to look for is an “open box” sale, where someone has returned an open box with an HDTV, but the TV isn’t even out of the plastic yet. If you do this in the second or third week of January, you can score yourself a deal.

Exercise Equipment – January is the biggest month of the year for people to get on the exercise kick, so if the local fitness store didn’t sell out during Christmas, you can best believe they are willing to make a deal to get their inventory out of the store. If you want to buy used equipment, this is also a great time as the families out there who just bought new equipment will be dying to sell their old stuff on eBay or Craigslist at rock bottom prices.

Winter Gear – With sites like Amazon today, they typically have a small window where a sale for up to 75% off of selected winter coats will happen online. This is your best opportunity to snag a coat from a top brand company at a really low price. You might also want to hit the outlet stores at places including Old Navy where for less than $5 you can pick up mittens, scarves, or other winter accessories at a fraction of the cost.

Holiday Paper Goods – This tip is for my savers that have some patience to make their investment work for them. When stores carry very expensive lines of cards such as Papyrus, the cards that normal cost $7 to $10 will be cut by 50% or more. This means it is a great time to buy a whole bunch of Christmas or Hanukkah cards at a good deal. More importantly, you know a year from now you’ll need gift bags or wrapping paper, and the best time to get this is in the first week of January so stock up ahead of time.

Gift Baskets – This is one of those money moves that most people simply don’t consider. The local spas and kitchen stores who put together those amazing gift baskets for the holidays need to get them sold. You can get a really good discount on the soaps and shampoos baskets, or even the baskets that have spices and oils. Look for these to be 25% off or more.

]]>https://www.yoursmartmoneymoves.com/2017/12/31/five-items-to-buy-after-christmas/feed/012265Five Things You Didn’t Know About The GOP Tax Billhttps://www.yoursmartmoneymoves.com/2017/12/23/gop-tax-bill/
https://www.yoursmartmoneymoves.com/2017/12/23/gop-tax-bill/#respondSat, 23 Dec 2017 17:57:16 +0000http://yoursmartmoney.wpengine.com/?p=12254
With the GOP Tax Bill on the verge of passing, President Trump has suggested that this 1.5 trillion-dollar tax cut will be a HUGE Christmas present for the entire United States of America. As with any type of new tax reform, there will be items you hear in the media about the winners and losers. You’ll also hear about the major bullet points including the income tax brackets, the corporate tax cut to 21%, the small business pass through tax cuts, and certainly the minimization of state, local, and property income tax deductions on your itemized deductions. What really separates us from our competition is to work hard on digging several layers down to give you some insight into the small tax changes that you won’t hear about that could affect your bottom line. Here are five things you didn’t know about the GOP Tax Bill Say Goodbye To The Home Equity Loan Deduction – The part of this bill that you did hear a lot about is that your...]]>

With the GOP Tax Bill on the verge of passing, President Trump has suggested that this 1.5 trillion-dollar tax cut will be a HUGE Christmas present for the entire United States of America. As with any type of new tax reform, there will be items you hear in the media about the winners and losers. You’ll also hear about the major bullet points including the income tax brackets, the corporate tax cut to 21%, the small business pass through tax cuts, and certainly the minimization of state, local, and property income tax deductions on your itemized deductions. What really separates us from our competition is to work hard on digging several layers down to give you some insight into the small tax changes that you won’t hear about that could affect your bottom line.

Here are five things you didn’t know about the GOP Tax Bill

Say Goodbye To The Home Equity Loan Deduction – The part of this bill that you did hear a lot about is that your existing mortgage deductions were completely safe. You also heard that new mortgages would have a cap of $750,000 for mortgage deductibility on new mortgage loans. Under the new plan the home equity loan/HELOC will no longer be tax deductible at all. This could have an impact on home renovation projects or those of you who took out two mortgages simultaneously when you bought your home.

Will Snacks Disappear At Work? – For most people out there who have been a 1099 or own an LLC, you are only able to deduct 50% of the meals and entertainment attributable to your business. This doesn’t mean that you have stopped taking people out for a meal, but certainly you don’t let the tax tail wag the dog. For companies including Facebook and Google, all of the FREE food, snacks, and drinks they provide at work are currently eligible for a 100% deduction off their bottom line. With this new bill, they will only be able to deduct 50% of those expenses. Does this mean that we will back to using vending machines?

529’s Just Got A Whole Lot Better For Private Tuition– One of the reasons more people don’t put away even more money into a 529 plan is because they have always been a college (and graduate school) only plan, and could not be used for elementary school, middle school, or high school education. Nothing changes with higher education, but you will also be able to withdraw up to $10,000 each year, per child, to pay for private or religious school and receive the same tax benefits. Families participating in home schooling can also take out up to $10,000 a year to use for educational expenses. Also, families can roll 529 funds over to ABLE account which offer tax advantages for people with disabilities.

Divorce Just Got Even Tougher – We know that divorce can be incredibly burdensome on the finances of a married couple. While child support has always been a non-deductible expense to the payer and not taxable income to the payee, alimony has always been a different story. Generally, the person paying the alimony can tax deduct it from their return and the person receiving the alimony would have to pay taxes on the income. Beginning with divorce decrees in 2019, alimony will no longer be deductible to the person paying the alimony and not taxable to the person receiving the alimony.

Student Loan Forgiveness – I’ve been thinking for some time that the next real bubble was going to be the looming amount of student loan debt that is growing by the day. With Federal Government now allowing discharged debt under the student loan forgiveness program, if you cannot pay back your loan you will not be responsible to pay taxes on the amount of discharged debt. The really good news for your heirs is neither will they. Under the new provision, if you die or become disabled, you (or your family) will not have to pay back the amount of forgiven debt.

If you don’t know the best way to plan for these changes going into 2018, go to www.oxygenfinancial.net to get your tax plan off to a great start in the new year.

]]>https://www.yoursmartmoneymoves.com/2017/12/23/gop-tax-bill/feed/012254What a Stupid Question!https://www.yoursmartmoneymoves.com/2017/12/17/stupid-question/
https://www.yoursmartmoneymoves.com/2017/12/17/stupid-question/#respondSun, 17 Dec 2017 14:38:53 +0000http://yoursmartmoney.wpengine.com/?p=12245
So, how many times have you asked someone in the financial world a question and they make you feel stupid? Not only stupid for asking the question, but just plain stupid? That’s what often happens when working with people. There used to be stocks, bonds and cash. There used to be whole life insurance and term life insurance. There used to be disability insurance. There used to be health insurance. Now we have BDC’s and REIT’s and PPL’s and variable life insurance and variable universal life insurance and indexed life insurance and indexed universal life insurance and ETF’s and UIT’s and PPO’s and HMO’s and 401k’s and Roth 401k’s and IRA’s and Roth IRA’s and long term care insurance and then long term care riders and hybrids and properly structured life insurance and improperly structured life insurance . . . You get the point. The financial world of our parents and grandparents doesn’t exist today. It’s become much more complicated and demanding but also more individualized and more automated. When...]]>

So, how many times have you asked someone in the financial world a question and they make you feel stupid? Not only stupid for asking the question, but just plain stupid? That’s what often happens when working with people. There used to be stocks, bonds and cash. There used to be whole life insurance and term life insurance. There used to be disability insurance. There used to be health insurance.

Now we have BDC’s and REIT’s and PPL’s and variable life insurance and variable universal life insurance and indexed life insurance and indexed universal life insurance and ETF’s and UIT’s and PPO’s and HMO’s and 401k’s and Roth 401k’s and IRA’s and Roth IRA’s and long term care insurance and then long term care riders and hybrids and properly structured life insurance and improperly structured life insurance . . . You get the point. The financial world of our parents and grandparents doesn’t exist today. It’s become much more complicated and demanding but also more individualized and more automated.

When working with an advisor, ask questions, and ask more questions, and then ask even more questions. The more you get a feel for what you’re investing in and what insurance coverage you’re actually getting, the more comfortable you’ll feel. You will then be able to Breathe Easier About Life.

I love it when I get an e-mail from my clients in their early 80’s and the subject line reads “Another Stupid Question!” They’ve been working with me for so long that they’ve heard me say “The only stupid question in my eyes is an unasked question” hundreds of time. They can also repeat back to me another mantra of mine . . . “Even if you think you’ve asked the question 3 or 4 times, ask it again.”

I understand that the world of finances, insurance and estate planning can seem daunting. Now add a Private CFO to lead your way. The next time you have a stupid question, ask it. If the one who’s hearing the question makes you feel stupid, politely disengage and call me.

]]>https://www.yoursmartmoneymoves.com/2017/12/17/stupid-question/feed/0122455 Things You Need To Know About The Bitcoin Before You Invest Your Moneyhttps://www.yoursmartmoneymoves.com/2017/12/09/invest-in-bitcoin/
https://www.yoursmartmoneymoves.com/2017/12/09/invest-in-bitcoin/#respondSat, 09 Dec 2017 13:00:20 +0000http://yoursmartmoney.wpengine.com/?p=12237
It has become clear that the new gold rush people are talking about is the Bitcoin. The problem is that most people have no ideas what the Bitcoin is exactly, how it works, or the way that a transaction happens with this currency. When they start talking about the Bitcoin on major TV shows like The Big Bang Theory, then you know it’s time to get educated about this kind of investment before you jump into the deep end with your portfolio. Here is your guide on five things you need to know about the Bitcoin before you invest your money. What Is The Bitcoin? In the simplest of terms, the Bitcoin is a digital currency peer to peer online payment system. It is created through something called block chain technology, but at its heart it is simply a peer to peer payment system. What makes something like the Bitcoin unique to modern currency is that there is no central authority overseeing the Bitcoin. This means there is no backing...]]>

It has become clear that the new gold rush people are talking about is the Bitcoin. The problem is that most people have no ideas what the Bitcoin is exactly, how it works, or the way that a transaction happens with this currency. When they start talking about the Bitcoin on major TV shows like The Big Bang Theory, then you know it’s time to get educated about this kind of investment before you jump into the deep end with your portfolio. Here is your guide on five things you need to know about the Bitcoin before you invest your money.

What Is The Bitcoin?

In the simplest of terms, the Bitcoin is a digital currency peer to peer online payment system. It is created through something called block chain technology, but at its heart it is simply a peer to peer payment system. What makes something like the Bitcoin unique to modern currency is that there is no central authority overseeing the Bitcoin. This means there is no backing or FDIC insurance and no central bank that is behind making the currency. This also presents the risk of the early stages of the Bitcoin.

Why Is It So Popular Now?

There are two main reasons that the Bitcoin has become so popular as of late. First and foremost, the Bitcoin is following the basic economic rules of supply and demand right now. For every one seller, there is about twenty buyers and this is driving the price of the Bitcoin up in value. In addition, there is still a massive fear amongst many people throughout the world around the collapse of modern paper currency. Many central banks and Governments are woefully loaded down with debt, and people are concerned that the paper they are printing may be worth nothing. The Bitcoin gives people of all nations the ability to make a transaction with a currency like the Bitcoin that has the same value in every country.

Can There Be An Unlimited Amount Of Bitcoins?

In theory the answer is no, but in reality the answer is still unknown. There are supposedly only $21,000,000 Bitcoins available to mined and currently only $16,700,000 Bitcoins have been mined as of today according to www.blockchain.info. You should be aware that there are many other forms of cryptocurrencies being created including some other popular ones called Ethereum, Litecoin, Namecoin, Dodgecoin, and several others. There is no predicting at this point which ones of these cryptocurrencies will be accepted in the mainstream stores.

How Do I Get Invested In The Bitcoin?

If you want to be invested in the Bitcoin directly, there are a few websites that make it easy to transact the Bitcoin. You can go to www.coinbase.com where you can buy Bitcoin, Ethereum, and Litecoin. You can also go to www.bitstamp.net. If you want to own the Bitcoin indirectly, you can purchase the Grayscale Bitcoin Investment Trust (GBTC) in your brokerage account or IRA accounts.

How Risky Is The Bitcoin?

Like any technology, cryptocurrency is really still in its infancy stage so you should expect the pricing to be highly volatile and speculative within your portfolio. Today, there are already over 100 different types of cryptocurrencies and nobody knows yet which currencies will be around or if they will be around at all in the future. It is always a good idea if you are thinking about investing to make sure you invest in the Bitcoin as part of an overall diversified portfolio as they should be considered highly risky.

If you want to discuss how Bitcoins could fit into your overall portfolio, reach out to us at www.oxygenfinancial.net.

]]>https://www.yoursmartmoneymoves.com/2017/12/09/invest-in-bitcoin/feed/012237Would You Pay $450 Million For A Piece Of Arthttps://www.yoursmartmoneymoves.com/2017/12/02/450-million-dollar-piece-of-art/
https://www.yoursmartmoneymoves.com/2017/12/02/450-million-dollar-piece-of-art/#respondSat, 02 Dec 2017 18:23:18 +0000http://yoursmartmoney.wpengine.com/?p=12231
Leonardo da Vinci’s painting, “Saviour of the World,” sold for $450,312,500 Wednesday at auction, Christie’s said. The price, which includes a buyer’s premium, makes it “the most expensive painting ever sold at auction,” the auction house said in a recent statement. The previous record for the most expensive painting sold at auction was $179,364,992 for Picasso’s “Les Femmes d’Alger” (“Women of Algiers”), according to Christie’s. The highest price previously paid at auction for a da Vinci was in 2001 for his “Horse and Rider,” a work on paper, which went for $11,481,865. This begs the question about whether or not it is a good idea to add collectibles into your overall portfolio and which collectibles may make sense if you have no real interest in collecting anything at all. With all of the hoopla going on this year in California, one might stop and think that fine wine could be a good collectible as part of your overall holdings. In fact according to The Knight Frank Luxury Index, wine was the...]]>

Leonardo da Vinci’s painting, “Saviour of the World,” sold for $450,312,500 Wednesday at auction, Christie’s said. The price, which includes a buyer’s premium, makes it “the most expensive painting ever sold at auction,” the auction house said in a recent statement.

The previous record for the most expensive painting sold at auction was $179,364,992 for Picasso’s “Les Femmes d’Alger” (“Women of Algiers”), according to Christie’s. The highest price previously paid at auction for a da Vinci was in 2001 for his “Horse and Rider,” a work on paper, which went for $11,481,865. This begs the question about whether or not it is a good idea to add collectibles into your overall portfolio and which collectibles may make sense if you have no real interest in collecting anything at all.

With all of the hoopla going on this year in California, one might stop and think that fine wine could be a good collectible as part of your overall holdings. In fact according to The Knight Frank Luxury Index, wine was the number one collectible performing investment over the past year returning 24% for investment grade fine wine. What’s more interesting is that specifically California wine returned 440% according to the same index over the past 10 years. Burgundy wine came in 4th over the past 10 years and collectible investment grade champagnes came in 7th over the past 10 years.

It’s probably not surprising at all with the aging of the baby boomers that Collectible Cars were actually number one performing collectible over the past decade. While many of us are starting to see more muscle cars back on the road including the Chevelle and others, the number two and number three highest performing car collectible over the past decade where Porsche and Ferrari. For classic cars, “2016 was the year of the slowdown,” says HAGI’s Dietrich Hatlapa. For anybody not familiar with the market, that looks like a slightly downbeat claim as annual growth was still a very respectable 9%. But set against total growth of 151% over the past five years, it is clear that the market has dropped down a few gears. “Those who were in it just for the money have moved on,” says Mr Hatlapa. “The market is now more in the hands of the collectors and specialists, which I think is good news for the real enthusiast.”

For those of you who own furniture and watches as collectibles, the news isn’t stellar at all. Furniture finishing at the absolute bottom last year down 31% and also at the absolute bottom over the past 10 years. What’s most interesting in the genre of watches is getting a handle on navigating which watches will potentially perform well and which ones will likely not maintain their value. Many people believe the good watches will increase in value when sometimes the opposite is true. Rolex, which is one of the most worn luxury watches by men and women actually finished behind Cartier and Patek Phillippe in overall value increase over the past 10 years.

Check Out The Complete Report here on all of the asset classes, but you consider carefully what you invest in with your collectibles if you think you’ll be a reseller in the future. $450 million dollars is quite a high price to fetch for one single painting, so if you don’t have that kind of loot you might stick to wine and collectible cars.

]]>https://www.yoursmartmoneymoves.com/2017/12/02/450-million-dollar-piece-of-art/feed/012231Is It Time To Just Rent A Car…FOREVER??https://www.yoursmartmoneymoves.com/2017/11/24/rent-a-car-forever/
https://www.yoursmartmoneymoves.com/2017/11/24/rent-a-car-forever/#respondFri, 24 Nov 2017 13:00:24 +0000http://yoursmartmoney.wpengine.com/?p=12214
For the past twenty years, I have been buying my personal automobiles one way and one way only. I would typically look for a used car that was two to three years old with a good chunk of depreciation worn off it and then buy the car for cash. I would typically drive the car for another 4 to 6 years and then rinse and repeat the process. In fact, as I gave advice to clients over the years I would continue to emphasize this philosophy as I have never been a big fan of buying new cars as an asset (unless you love cars) nor have I typically like leases with the exception of a few specific instances. Recently, I embarked on a test and for the first time in my own financial life I neither own a car nor do I lease car. I actually RENT a car full time, and I’m beginning to think that this trend may sweep the nation from auto dealers and consumer alike...]]>

For the past twenty years, I have been buying my personal automobiles one way and one way only. I would typically look for a used car that was two to three years old with a good chunk of depreciation worn off it and then buy the car for cash. I would typically drive the car for another 4 to 6 years and then rinse and repeat the process. In fact, as I gave advice to clients over the years I would continue to emphasize this philosophy as I have never been a big fan of buying new cars as an asset (unless you love cars) nor have I typically like leases with the exception of a few specific instances.

Recently, I embarked on a test and for the first time in my own financial life I neither own a car nor do I lease car. I actually RENT a car full time, and I’m beginning to think that this trend may sweep the nation from auto dealers and consumer alike in this new economy.

The program I joined up with is a beta test in Atlanta called Clutch Atlanta and here are the basics on how it works.

You sign up for a monthly car subscription which is an alternative to owning or leasing. The subscription goes month to month and you can exit the program any month you like.

The Trailblazer program is $750 a month, the Pioneer is $950 a month, and the Adventurer $1400 a month. Each of the plans gives you access to a fleet of cars including SUV’s, sedans, convertibles, trucks, and crossover cars.

The beauty about this program is that you don’t need to carry auto insurance anymore and you don’t need to worry about maintenance of the car. You can simply flip your current car for another car every single time you want to flip.

The Clutch Concierge will bring you new car to your home, place of work or a 3rd party location as long as it is within a certain distance away from the Clutch headquarters.

As of late, more and more automakers are joining the bandwagon of these rent-a-car type programs:

“Launch”: Includes on-demand access to eight model variants such as the 718 Boxster and Cayman S, as well as the Macan S and Cayenne, for a monthly fee of $2,000.

“Accelerate”: Includes on-demand access to 22 model variants such as the Porsche 911 Carrera S, the Panamera 4S sports sedan, the Macan GTS and Cayenne S E-Hybrid SUVs, in addition to the vehicles offered in the “Launch” package, for a monthly fee of $3,000.

Membership plans include vehicle tax and registration, insurance, and maintenance, as well as detailing, for the fixed monthly fee. To sign up, Atlantans can download the Porsche Passport app available on Apple and Android devices to apply for membership. Both plans require a one-time activation fee of $500, and membership approval is dependent on a background and credit check. Once approved, the vehicle will be delivered to the member’s requested location in metro Atlanta. Users can schedule same day or future vehicle exchanges through the Porsche Passport app.

Book By Cadillac has a program now for $1,500 a month and Volvo has a rent a car program as well. As you have seen over the past five years what Uber has done to the Taxi industry and AirBnb has done to the hotel industry, this may be an initial sign to a whole new way we interact with the auto industry. Now you can have the luxury of having the crossover car for the week, the convertible for Saturday, and the back up of an extended SUV when you need to haul the family for long trips.

]]>https://www.yoursmartmoneymoves.com/2017/11/24/rent-a-car-forever/feed/012214UBER Gets Into The Credit Card Game??https://www.yoursmartmoneymoves.com/2017/11/19/uber-credit-card/
https://www.yoursmartmoneymoves.com/2017/11/19/uber-credit-card/#commentsSun, 19 Nov 2017 14:07:48 +0000http://yoursmartmoney.wpengine.com/?p=12208
Uber has become a household name over the past several years by picking us up and dropping us off with the click of a button on our mobile phone. Effective November 2nd, Uber officially put its hat in the ring and made a foray into the credit card business by issuing a Visa card by Barclays. The most interesting part of this that the applications can be processed right inside of the Uber app. Uber, apparently thinks that they have tapped into a nerve because they realized their customers love two things: eating out and chilling with Netflix. With the Uber Visa card, you can: Stream with a $50 subscription credit for Apple Music, Pandora, Spotify, Amazon Music, Google Music, Audible, Sirius XM, Netflix, Hulu, HBO Now, DirectTV Now, the membership fee for Amazon Prime, and Shoprunner after you spend your first $5,000. You can ride in Uber with peace of mind by having up to $600 of mobile phone protection for mobile phone damage or theft when you pay...]]>

Uber has become a household name over the past several years by picking us up and dropping us off with the click of a button on our mobile phone. Effective November 2nd, Uber officially put its hat in the ring and made a foray into the credit card business by issuing a Visa card by Barclays. The most interesting part of this that the applications can be processed right inside of the Uber app.

Uber, apparently thinks that they have tapped into a nerve because they realized their customers love two things: eating out and chilling with Netflix.

You can ride in Uber with peace of mind by having up to $600 of mobile phone protection for mobile phone damage or theft when you pay your mobile phone with the Uber card.

You will be able to get invites to exclusive events and offers in U.S. cities by Uber.

If you travel overseas, you’ll enjoy no transaction fees when you use the Uber Visa card outside of the U.S.

You can also use the Uber Visa redeeming rewards on the go for items such as Uber credits for rides, gift cards, and even cash back all facilitated by a simple tap on the app.

What’s also interesting about the card is that you can get 4% cash back for purchases made at restaurants and Uber EATS, 3% cash back on airfares, hotels, and travel agencies, and 2% back for purchases.

The card is ideal for those spenders looking for rapidly accrued rewards instead of big ticket items such as international airfare. The card is designed by Uber with Visa to reflect the ideal customer who rides and uses Uber, with a slant for sure on millennials as their major target.

The Uber Visa’s rewards are not quite as rich as those offered by some of the big time credit companies such as the American Express Platinum card and the Chase Sapphire Reserve card. However, it is very comparable with the no-fee credit cards that are out in the marketplace today.

What’s next for Uber? Who knows the answer, but don’t be surprised to see them in more businesses coming soon.

]]>https://www.yoursmartmoneymoves.com/2017/11/19/uber-credit-card/feed/212208How To Save BIG Money On Your Teenagers Auto Insurancehttps://www.yoursmartmoneymoves.com/2017/11/10/how-to-save-big-money-on-your-teenagers-auto-insurance/
https://www.yoursmartmoneymoves.com/2017/11/10/how-to-save-big-money-on-your-teenagers-auto-insurance/#respondFri, 10 Nov 2017 22:35:16 +0000http://yoursmartmoney.wpengine.com/?p=12198
It’s Official! Effective November 1st of this year, I officially have three children that can drive an automobile. On one hand, it’s a sigh of relief because now I have three drivers who can make a run to CVS or Chick-Fil-A to do those small errands I simply don’t want to do at all. On the other hand, you simply worry every time your children get out on the road and spend your nights waiting up to make sure that they get home safely. Beyond the bad and good of having your children be able to drive, the one that really hits home is your auto insurance. In fact, when my 20 year old went on to our auto insurance for the first time, even a seasoned financial advisor like myself gulped a little bit with sticker shock as a good solid student cost more than $2,000 per year. When my second daughter went on about two years later and added another $2,000 per year, I thought to myself that...]]>

It’s Official! Effective November 1st of this year, I officially have three children that can drive an automobile. On one hand, it’s a sigh of relief because now I have three drivers who can make a run to CVS or Chick-Fil-A to do those small errands I simply don’t want to do at all. On the other hand, you simply worry every time your children get out on the road and spend your nights waiting up to make sure that they get home safely. Beyond the bad and good of having your children be able to drive, the one that really hits home is your auto insurance.

In fact, when my 20 year old went on to our auto insurance for the first time, even a seasoned financial advisor like myself gulped a little bit with sticker shock as a good solid student cost more than $2,000 per year. When my second daughter went on about two years later and added another $2,000 per year, I thought to myself that there must be a better way to get a deal on auto insurance than be robbed by the mainstream auto insurance companies. As much as I looked, I couldn’t find a solution. Looming in my future to add to auto insurance was my third child who is a boy. With the first two being girls, it was pretty expensive, but I knew my son would push our bill up to make our auto insurance bill basically as much as gas and electric.

Then I stumbled across a PURE solution. A solution so PURE, it could reduce my overall bills by more than 40% it is called Pure Insurance. Pure Insurance was developed almost a decade ago to serve high credit score families that are also high net worth. With many insurance companies, families are lumped into the pool with the thousands or millions of other families rather than being in a risk pool that may be more favorable for their particular financial situation.

When you become a PURE member, you join a very select group of responsible, financially successful families who own extraordinary homes and other high-value assets. A more responsible membership means fewer claims, which leads to lower premiums. Whether you own multiple homes and vehicles; collect fine art, enjoy fine wine, love fancy antiques, or travel extensively, PURE’s suite of products are optimized to help protect you from the risks and liabilities presented by your unique lifestyle. (source: www.pureinsurance.com)

When I compared my old premium for auto, homeowners, and umbrella liability which was more than $11,000 per year, the switch to Pure Insurance moved me to $6,100 per year. Needless to say, for years I accepted the status quo for buying auto and home insurance until I discovered that there was a company who could underwrite a family like mine.

If you have a super high credit score, a net worth over seven digits, and teenage drivers, you should check out www.pureinsurance.com to potentially lower your automobile and homeowner’s insurance bills.

]]>https://www.yoursmartmoneymoves.com/2017/11/10/how-to-save-big-money-on-your-teenagers-auto-insurance/feed/012198What You Need To Know About Healthcare Open Enrollment For 2018 Obamacarehttps://www.yoursmartmoneymoves.com/2017/11/04/what-you-need-to-know-about-healthcare-open-enrollment-for-2018-obamacare/
https://www.yoursmartmoneymoves.com/2017/11/04/what-you-need-to-know-about-healthcare-open-enrollment-for-2018-obamacare/#respondSat, 04 Nov 2017 13:08:21 +0000http://yoursmartmoney.wpengine.com/?p=12190
It may be open enrollment season for many of you at work, but for millions of Americans it will be the official open enrollment for Obamacare started Wednesday, November 1st. Amidst all the adjustment surrounding federal subsidies, there is a plethora of information to digest for those of you who are considering the federal marketplace for your health insurance. Sometimes, it may feel like you need an engineering degree to choose your health insurance. Here are my five-smart money moves Q & A to help you get an initial start to understanding the open enrollment period beginning this week. Question 1: When does open enrollment start/end and how many people are expected to sign up this year? Starts November 1, 2017 and ends December 15, 2017 You must apply by December 15th if you want your coverage to begin January 1st. There are no other enrollment periods unless you qualify for a special enrollment for life events such as marriage, divorce, birth of new child, etc. The CBO expects 11 million people to...]]>

It may be open enrollment season for many of you at work, but for millions of Americans it will be the official open enrollment for Obamacare started Wednesday, November 1st. Amidst all the adjustment surrounding federal subsidies, there is a plethora of information to digest for those of you who are considering the federal marketplace for your health insurance. Sometimes, it may feel like you need an engineering degree to choose your health insurance. Here are my five-smart money moves Q & A to help you get an initial start to understanding the open enrollment period beginning this week.

Question 1: When does open enrollment start/end and how many people are expected to sign up this year?

Starts November 1, 2017 and ends December 15, 2017

You must apply by December 15th if you want your coverage to begin January 1st.

There are no other enrollment periods unless you qualify for a special enrollment for life events such as marriage, divorce, birth of new child, etc.

The CBO expects 11 million people to sign up this year (source vox.com).

* The most popular plans are expected to go up by 34% according to CNBC. You should analyze the plans carefully to ask yourself not only a) what will your premium be, but also b) what will you be paying out of pocket potentially for deductibles.

Question 2: Is the Government selling health insurance?

No, there is no Government agency- it is a federal marketplace you can access through www.healthcare.gov.

You can get the same options from independent private companies (go to www.hlnobamacare.com and we can get a quote for you).

You have 5 categories of coverage – bronze, silver, gold, platinum, and catastrophic. The bronze health plan will pick up roughly 60% of the costs and you will pay 40% of the costs. The platinum plan is 90%/10%. The key here is to closely review your medical history or your expected medical procedures you may need in 2018.

Question 3: Do you have to carry insurance?

Yes or you can get fined. I will discuss the fine in question five.

All market place plans have 10 essential health benefits. ‘Essential health benefits’ are benefits such as trips to the emergency room, lab tests, prescription drugs, etc.

Depending on your income and people in your household, you can potentially get federal subsidies to pay for your health insurance.

* With the impending alterations from Trump, there are some unknowns now as it pertains to overall subsidies and we know that health care reform is up in the air.

Question 4: Why are premiums rising so high?

Because this is GUARANTEED coverage.

You cannot be denied – pre-existing conditions, pregnancy, etc.

It is also why you can’t just drop and pick up coverage. For example, you can’t enroll in July, have $100,000 of costs, and then drop in August. Rates are increasing due to the actual costs and unknowns about federal subsidies.

EXAMPLE:

For someone like me – if I applied as a 48-year-old single male. A silver plan with a $6,800 deductible is about $473 a month versus a gold plan with a $500 deductible which would cost more than $717 per month.

Question 5: What are the fines if you don’t take on health insurance?

2.5% of your household modified adjusted gross income (OR)

There have been no 2018 adjustments mentioned as of yet, but the current fee is $695 per adult/$347.50 per child to a maximum of $2,058 whichever is more for your household

You should be listing your fine on your tax return under the clause of ‘shared responsibility’.

IRS holds back from future refunds if you don’t pay on the honor code.

This isn’t a full and complete list of everything you need to know. To get more information, go to www.hlnobamacare.com or you can go to the Government website at www.healthcare.gov. Get smart about your health insurance so you can make the best moves for your family profit and loss statement.

]]>https://www.yoursmartmoneymoves.com/2017/11/04/what-you-need-to-know-about-healthcare-open-enrollment-for-2018-obamacare/feed/012190Should You Lend Money To A Co – Worker?https://www.yoursmartmoneymoves.com/2017/10/28/should-you-lend-money-to-a-co-worker/
https://www.yoursmartmoneymoves.com/2017/10/28/should-you-lend-money-to-a-co-worker/#respondSat, 28 Oct 2017 13:55:22 +0000http://yoursmartmoney.wpengine.com/?p=12182
Here’s a situation I heard the other day…what do you think you should you do. Ted, I’ve got a co-worker of mine and we’ve known each other for more than 10 years. I have always known them to be a pretty responsible person and one that never brings drama to work. We are both in our late 30’s. I have a pretty good idea what they make because we have reasonably similar jobs. It was strange, but the other day as we hit the breakroom, they asked me if I would consider loaning them $7,000 for just a few months some money so they could pay off some of her debts, and then they would pay me back after they get the upcoming bonus we should be receiving in a few months. Details: They specifically told me there were some unexpected family medical expenses that caused this 7k of debt and they didn’t get into too many more details beyond that. I didn’t have the heart to ask them more...]]>

Here’s a situation I heard the other day…what do you think you should you do.

Ted, I’ve got a co-worker of mine and we’ve known each other for more than 10 years. I have always known them to be a pretty responsible person and one that never brings drama to work. We are both in our late 30’s. I have a pretty good idea what they make because we have reasonably similar jobs. It was strange, but the other day as we hit the breakroom, they asked me if I would consider loaning them $7,000 for just a few months some money so they could pay off some of her debts, and then they would pay me back after they get the upcoming bonus we should be receiving in a few months.

Details: They specifically told me there were some unexpected family medical expenses that caused this 7k of debt and they didn’t get into too many more details beyond that. I didn’t have the heart to ask them more information about their personal finances, but now I am feeling a little bit of a pit in my stomach not knowing the entire situation and whether this is a good idea.

I have zero debt besides my mortgage and make approximately 150k. I’ve got a healthy cash reserve and I am a very good saver.

I wasn’t really sure if I should be bringing this to my boss or whether to loan the money or handle this myself. I don’t want to ruin our relationship as we work on a bunch of projects together.

I guess at the end of this, I feel very confused about what direction to go with this situation.

Is there a way to protect myself if I loan them the money?

Am I wrong to charge interest? I am not even talking anything crazy. Like 3% or so. Or does that seem unreasonable even if they are a co-worker of mine?

Should I just skip this all together and deal with the aftermath of telling them that I cannot loan them money. I really do want to help them, but overall it just seems like a really bad idea?

I’m not saying the relationship is going to go south if you don’t have a contract, but the only way to somewhat protect yourself is to get a contract in writing. This probably won’t feel so great for what they will consider to be a friendly little loan (7k isn’t so little anyway), but 7k will turn into 10k, and before you know it they will have you at 15k. If you loan the money, get a contract in writing. It’s just that simple. If you want to help them and want no strings attached then just consider it a gift. It’s either a gift or a loan if you do it.

Charging interest is going to be up to you. Of course, there isn’t a bank out there today that charges interest at zero. However, you may be just trying to help them, so as long as you still have a contract it’s up to you whether you will charge interest or not. It’s amazing how much money and friendship are so inextricably tied together, but they are so think through this one carefully. If you are bent on charging interest, then just know it may cause other strain to the relationship down the road. If you are going to work with this person for the next 10 years, what will it be like down the road. What if they become your boss? What if you become their boss?

Ultimately, you should skip this and not even consider making a loan because there are so many negative consequences compared to the possible positive one. Tell your co-worker that you completely empathize with their situation, but a) you are not a bank and b) you don’t think it will be good for either of your relationships at the workplace which are currently great. It’s just a bad idea overall to get into the loaning money business anywhere let alone work. If this one decision strains your work relationship, then you shouldn’t have a relationship at all.

]]>https://www.yoursmartmoneymoves.com/2017/10/28/should-you-lend-money-to-a-co-worker/feed/012182Five Ways To Save Money When You Plan Your Weddinghttps://www.yoursmartmoneymoves.com/2017/10/21/five-ways-to-save-money-when-you-plan-your-wedding/
https://www.yoursmartmoneymoves.com/2017/10/21/five-ways-to-save-money-when-you-plan-your-wedding/#respondSat, 21 Oct 2017 19:09:54 +0000http://yoursmartmoney.wpengine.com/?p=12175
Since I have two daughters, it’s entirely possible that I will be shelling out some big bucks down the road if my daughter’s get married. The cost of weddings continues to skyrocket across the United States and the national average cost of a wedding day in 2016 shot up to $35,329, according to a survey by The Knot. That’s a $2,688 jump from the 2015 average of $32,641. Increased focus on tailoring an unforgettable day for wedding guests is central to the rise in costs, says The Knot. While the number of people showing up may have decreased—from 149 in 2009 to 141 last year—amenities like photo booths, food trucks, and lawn games are driving up the average cost per guest to $245, compared to a meager $194 in 2009. So, the big question is how can you save some money when planning a special wedding day. Here are my five tips on how to have a great day, but still stay within your budget. Schedule An Off Peak Time Avoid Saturdays – Saturday tend...]]>

Since I have two daughters, it’s entirely possible that I will be shelling out some big bucks down the road if my daughter’s get married. The cost of weddings continues to skyrocket across the United States and the national average cost of a wedding day in 2016 shot up to $35,329, according to a survey by The Knot. That’s a $2,688 jump from the 2015 average of $32,641.

Increased focus on tailoring an unforgettable day for wedding guests is central to the rise in costs, says The Knot. While the number of people showing up may have decreased—from 149 in 2009 to 141 last year—amenities like photo booths, food trucks, and lawn games are driving up the average cost per guest to $245, compared to a meager $194 in 2009.

So, the big question is how can you save some money when planning a special wedding day. Here are my five tips on how to have a great day, but still stay within your budget.

Schedule An Off Peak Time

Avoid Saturdays – Saturday tend to be the single most expensive day of the week, especially when you choose an evening event. See if you can stick to Friday night, or a Sunday afternoon to really trim down your budget.

Avoid Peak Months Of The Year – While Spring and Fall are the most popular time to get married, choosing the winter months such as November, December, and January can really help your bottom line.

Prime Rib, Chicken, or Salmon?

Consider Doing A Serve Yourself Buffet – You might have dreamed for that sit down meal where your guests choose between Prime Rib and Salmon, but consider doing a self-serve buffet. This is one of the most economical ways to save money especially if you choose something simple like barbeque and mac and cheese.

You Can Also Go For Heavy Apps/Dessert – If you really need to be economical, you could go for a buffet that is appetizers driven and wow your guests with a really great dessert table.

Look For A Nontraditional Venue

Consider A Family Member’s House – Look, the reality is that you’d love to have the option of doing an exclusive venue or your parent’s country club. However, if you really need to save money make it a great party, but do it at a family member’s backyard.

Community Center & Historic Facilities – If you can’t get a family member to play ball, look at other options such as an old historic house on main street in your town or even a community center in your neighborhood.

What Flowers Are In Season

Consider Using One Type Of Flower For Centerpieces – You may have always dreamed of peonies, but you might want to consider using one single type of flower that is in season. The flowers in season based upon the time of year you get married can really be a lot cheaper than the flowers that are scarce during your wedding season.

Look At Wholesale Stores (Costco) – Who knew? Costco? Yes! Take a look at their flower selection to save big money on your wedding day.

Serve Signature Cocktails

Offer several pre-made drinks – Full open bar can be one of the most expensive line items for your wedding. Consider coming up with one or two signature drinks and just giving your guests a choice of A or B instead of whatever they want to drink.

Serve beer and wine – If you are really worried about spending a ton of money on alcohol, then just stick to wine and beer. Your guests are there to see you and make the music out of sight for your wedding. Your guests will still have a great time.

]]>https://www.yoursmartmoneymoves.com/2017/10/21/five-ways-to-save-money-when-you-plan-your-wedding/feed/012175What You Should Know About The Current Trump Tax Planhttps://www.yoursmartmoneymoves.com/2017/10/13/what-you-should-know-about-the-current-trump-tax-plan/
https://www.yoursmartmoneymoves.com/2017/10/13/what-you-should-know-about-the-current-trump-tax-plan/#respondFri, 13 Oct 2017 13:57:31 +0000http://yoursmartmoney.wpengine.com/?p=12169
Almost a year after President Trump was elected to office, none of the main agenda bills have passed in Congress. With Thanksgiving looming around the corner for a Congress shut down here in 2017, one of the big questions will be whether the major tax bill passes before the end of the year. This single tax plan could have a big effect on how the market finishes here in 2017 and its potential impact into 2018. Here are the key points you should know about the current Trump Tax Plan. Businesses Get The Biggest Cut The current proposal is to reduce the tax rate of “C” Corporations (currently mostly large corporation) to move from the current 35% down to 20%. Consider this impact for a company that makes $20 billion dollars and currently pays $7 billion dollars in taxes. Those companies would in theory get back another $3 billion dollars in freed up cash flow. The current proposal still considers allowing large companies to repatriate profits earned from overseas corporations...]]>

Almost a year after President Trump was elected to office, none of the main agenda bills have passed in Congress. With Thanksgiving looming around the corner for a Congress shut down here in 2017, one of the big questions will be whether the major tax bill passes before the end of the year. This single tax plan could have a big effect on how the market finishes here in 2017 and its potential impact into 2018. Here are the key points you should know about the current Trump Tax Plan.

Businesses Get The Biggest Cut

The current proposal is to reduce the tax rate of “C” Corporations (currently mostly large corporation) to move from the current 35% down to 20%. Consider this impact for a company that makes $20 billion dollars and currently pays $7 billion dollars in taxes. Those companies would in theory get back another $3 billion dollars in freed up cash flow. The current proposal still considers allowing large companies to repatriate profits earned from overseas corporations back into the United States at a one time tax as well much lower than the 35%.

The other main business cut comes through corporations that are called “pass through” corporations. For most of you, these are LLC’s or S Corporations. Currently, the net income from these corporations are classified as regular ordinary taxable income, and business which earn a large amount of net profit can get as high as 39.6% tax in the current system. The proposal is to move that rate down to 25% for pass through income.

Simplify The Tax Brackets

Most people still don’t really understand how they are taxed. The federal income tax system is a progressive tax system. This means you pay tax up to a certain level of your income at a specific rate and then the next layer of income is taxed at a higher rate when you jump brackets. Currently, we have seven different income tax brackets. Underneath the proposed system, we will move to three brackets of 12%, 25%, and 35%. This will lower the top tax bracket from 39.6% and increase the lowest bracket from 10% to 12%.

Can You Still Itemize Your Deductions?

In short, the answer is yes. Underneath the current proposal, deductions such as your local income taxes, personal property tax, state income taxes, and miscellaneous deductions would all be eliminated. The two main deductions you would still be able to itemize would be your mortgage deduction (so we don’t kill the real estate market) and your charitable contributions. For some taxpayers, these changes will have little to no impact whereas others who pay a significant amount of local and state taxes could see an increase in taxes because you have less deductions.

Increasing The Standard Deduction

Originally, Trump’s plan has people who make less than $25,000 as an individual and married couples who make less than $50,000 not even filing a tax return because most of those folks don’t pay tax today. With the current proposal, Trump’s plan is to increase the standard deduction from $12,700 to $24,000 for a family and $6,350 to $12,000 for individuals. While on the surface this seems like a huge boom, consider that your personal exemptions (currently at $4,050) will also be eliminated as well. This means for a family of five who got over $20,000 of deductions from the personal exemptions, they may not benefit from the increase in the standard deductions.

High Income and High Net Worth Taxes Going Away

If the legislation passes as suggested today, the Alternative Minimum Tax will be eliminated. This is probably one of the most complicated taxes to understand, and most taxpayers have no idea how this is derived under current tax law. It will affect mostly high income tax payers. The bigger legislation would be a complete elimination of the federal estate tax. For families who have an estate north of 11 million dollars, they would be able to pass their entire estate on to the families completely tax free.

We won’t know for a few weeks (and possibly into next year) if a tax law will pass at all let alone the highlights I have outlined in this article. The main debate is whether this tax cut will really help all Americans or only those who make a lot of money. No matter what system we put in place, it’s becoming evident that nobody thinks they are getting a fair deal. Keep these bullet points in mind as you plan your taxes for 2018.

]]>https://www.yoursmartmoneymoves.com/2017/10/13/what-you-should-know-about-the-current-trump-tax-plan/feed/012169I’m Afraid To Talk To My Spouse About Moneyhttps://www.yoursmartmoneymoves.com/2017/10/06/im-afraid-to-talk-to-my-spouse-about-money/
https://www.yoursmartmoneymoves.com/2017/10/06/im-afraid-to-talk-to-my-spouse-about-money/#commentsFri, 06 Oct 2017 12:46:29 +0000http://yoursmartmoney.wpengine.com/?p=12162
After 25 years of working as a financial professional, I’ve learned that my job is part financial advisor part therapist. The challenge of helping a family through making tough decisions requires more than financial planning software and the skill of creating an excel spreadsheet. Just second to love, money becomes one of the largest items that separates couples from talking to each other. If you don’t know how to talk to your spouse or partner, I’ve put together my five ways to talk to your spouse or partner about money. Start With The “Lottery” Question? One of the great equalizers to open a conversation without an argument is to ask the question, “If you won a million dollars today, what would be the first three things you would do with the money?” We often don’t know our spouse’s attitude toward money and this can be a very non-intrusive question so you can get some insight. Would they pay off the mortgage? Would they donate to a charity? Is there a...]]>

After 25 years of working as a financial professional, I’ve learned that my job is part financial advisor part therapist. The challenge of helping a family through making tough decisions requires more than financial planning software and the skill of creating an excel spreadsheet. Just second to love, money becomes one of the largest items that separates couples from talking to each other. If you don’t know how to talk to your spouse or partner, I’ve put together my five ways to talk to your spouse or partner about money.

Start With The “Lottery” Question?

One of the great equalizers to open a conversation without an argument is to ask the question, “If you won a million dollars today, what would be the first three things you would do with the money?” We often don’t know our spouse’s attitude toward money and this can be a very non-intrusive question so you can get some insight. Would they pay off the mortgage? Would they donate to a charity? Is there a new car or a luxury item that they would want to buy? Is there a fancy vacation they would want to take? This is a great question for an icebreaker so you can get a feel for the priorities around money from your spouse.

Ask About Their Family Money History

Since we meet our partners later in life, many of their habits are already baked from their DNA and formative years growing up as a child. We can see easily items such as how our spouse or partner feels about traditions or raising the kids, but the thoughts usually don’t come up around what they saw as a child about money. This is a great time to explore whether they had a family that always talked about money or never talked about money. You can learn if they were taught to balance a checkbook or their parents just gave them money when they needed it growing up. You’ll often discover some interesting data asking and discussing this subject.

Be Completely Transparent

Relationships are supposed to built on honesty, but when it comes to money we often see secrets amongst spouses and partners. Many times, I have seen one spouse come to me when they learned that their significant other had racked up a ton of debt without any discussion whatsoever. Creating these types of debts or hidden transactions can create a lot of resentment in a relationship. Other times, I have seen one spouse set up a ‘special’ side account or have cash stashed on the side without telling the other spouse that money exists as part of their finances. The relationships I have seen be the strongest are the ones where money and whereabouts of money are extremely transparent.

Get Common Goals You Can Both Agree On

Whether you can do this as a family or you need the assistance of a third party (ahem…Ted!), you must get to some common ground around the financial goals for your family. For the short-term goals, the big questions are what do you need to buy or accomplish over the next twelve months? Are you going to redo your bathroom? Do you need a new car? Is it time for the kids to get braces? This will help you plan for those one-time expenditures…and where is the money coming from to pay for those goals. For the longer-term goals, it is important to sync up because you may have never discussed these before. What age do you want to make work optional? Will you stay in your area or move somewhere else? Do you want to travel? How much of the kid’s education do you want to pay for down the road? Who will be the custodian for the kids? These are all good questions for a goal setting session.

Set Up Your Family Roles

Once you set up goals, then it is time to really lay out the roles. Who is going to pay the monthly bills? Do all of your checks go into one joint account or will you have separate accounts? How do you each maintain your own independence and freedom with money, but have restrictor plates on so you don’t overspend your budget. I’ve found over the years the role discussion is important so you don’t get to a meeting and say, “They don’t know anything about our money (and then laugh).” Even if one of you handles the finances, you should have a ‘money date’ several times per year (Ahem…again with Ted) so you can make sure you are on track and everyone is informed on how the family finances are doing.

These conversations are never easy and couples don’t often see 100% eye to eye on how to make family money decisions. This is where oXYGen Financial can help, so go to www.oxygenfinancial.net today and set up a time for a little money therapy.

]]>https://www.yoursmartmoneymoves.com/2017/10/06/im-afraid-to-talk-to-my-spouse-about-money/feed/2121625 Ways To Increase Your Family Cash Flowhttps://www.yoursmartmoneymoves.com/2017/10/01/5-ways-to-increase-your-family-cash-flow/
https://www.yoursmartmoneymoves.com/2017/10/01/5-ways-to-increase-your-family-cash-flow/#commentsSun, 01 Oct 2017 14:12:56 +0000http://yoursmartmoney.wpengine.com/?p=12155
One of the biggest financial planning concerns I hear every week is how to manage the family cash flow. So many people see their incomes increasing, but it isn’t necessarily translating to the bottom line. If you are struggling to make ends meet or just want to stretch your paychecks further, here are five ways to increase your family cash flow. Review Your Tax Return? While you might love getting a tax refund, this is essentially giving an interest free loan to the Government for a year or more. While some people see this as a form of forced savings, one strategy you could consider is to adjust your withholdings to get more of those dollars back in your paycheck so you aren’t falling behind every month. In addition, many taxpayers don’t spend the time to take advantage of every tax deduction legally available to them. You should thoroughly review your tax return and what deductions are available to you so you can keep more of what you make. Lower...]]>

One of the biggest financial planning concerns I hear every week is how to manage the family cash flow. So many people see their incomes increasing, but it isn’t necessarily translating to the bottom line. If you are struggling to make ends meet or just want to stretch your paychecks further, here are five ways to increase your family cash flow.

Review Your Tax Return?

While you might love getting a tax refund, this is essentially giving an interest free loan to the Government for a year or more. While some people see this as a form of forced savings, one strategy you could consider is to adjust your withholdings to get more of those dollars back in your paycheck so you aren’t falling behind every month. In addition, many taxpayers don’t spend the time to take advantage of every tax deduction legally available to them. You should thoroughly review your tax return and what deductions are available to you so you can keep more of what you make.

Lower Your Monthly Debt Payments

With interest rates still hovering below 4% (as of 9/25/2017), you may want to consider doing a refinance on your property. You should examine all consideration when doing a refinance including whether you can get the mortgage paid off by retirement. Most importantly, will you live in the property long enough to pay off the cost to make the refinance happen. For those of you in credit card, consider looking at a zero-balance credit card transfer if you qualify. This may give you 12 to 18 months to pay off the card and increase your cash flow at zero interest.

Downsize

Nobody wants to tell you to move out of your dream home and move into a smaller home…expect maybe me! The truth is most families only consider the mortgage payment when they move into a home and not all of the additional operating expenses. These are the expenses that really chew up your monthly cash flow. Imagine lowering your monthly expenses by cutting your gas, electricity, landscaping, etc. bills and you will also be able to sell all of the excess furniture and items that you really don’t even use today anyway.

Do A Budget Cleanse?

The 21 Day Budget Cleanse book and app will be out soon, but you should know that doing a cleanse can help you on two fronts. Number one, just simply eliminate items you spend money on that you don’t use at all. Doing a deep dive on your bank account and credit card for the last six months will help you erode those unused items you spend money on today. Then, you should vigorously shop each of the bills in your household to see if you can get a better deal.

Make More Money?

Sure Ted, I would love to do that…but how? The beauty today about the internet and our new peer to peer society of making money in that world is your oyster. You could look at your current inventory of assets whether it be a room in your house, an unused car, or extra items stashed in your garage as money making assets instead of expense assets. There are also a ton of freelancing/moonlighting opportunities including writing articles, taking surveys, or people just looking to hire someone to do additional work at their homes. All of these can help you get your side hustle on today.

]]>https://www.yoursmartmoneymoves.com/2017/10/01/5-ways-to-increase-your-family-cash-flow/feed/212155Four Moves Every Business Owners Needs To Make With A Business Willhttps://www.yoursmartmoneymoves.com/2017/09/23/four-moves-every-business-owners-needs-to-make-with-a-business-will/
https://www.yoursmartmoneymoves.com/2017/09/23/four-moves-every-business-owners-needs-to-make-with-a-business-will/#respondSat, 23 Sep 2017 14:29:00 +0000http://yoursmartmoney.wpengine.com/?p=12151
Most people are familiar with the term ‘will’, but those that own a business often can’t make a distinction between having a personal will and a business will. Far too often, a business owner has an unforeseen situation which could be a divorce, disability, or death. This leads to massive complications about the succession plan on what will happen with the business. Does your partner want to work with your wife? Are your children ready, willing, and able to take over the day to day operations of the business? Will your family get the value of your business should you pass away? Here are four moves every business owner needs to make when you put together a business will. Have a valuation method or a business valuation done within the business will. One of the questions that comes about if an owner passes away is determining the actual value of the business. As a business owner, you never want someone to come in after the fact and value your business...]]>

Most people are familiar with the term ‘will’, but those that own a business often can’t make a distinction between having a personal will and a business will. Far too often, a business owner has an unforeseen situation which could be a divorce, disability, or death. This leads to massive complications about the succession plan on what will happen with the business. Does your partner want to work with your wife? Are your children ready, willing, and able to take over the day to day operations of the business? Will your family get the value of your business should you pass away? Here are four moves every business owner needs to make when you put together a business will.

Have a valuation method or a business valuation done within the business will. One of the questions that comes about if an owner passes away is determining the actual value of the business. As a business owner, you never want someone to come in after the fact and value your business because you’ll likely get a lower valuation than the real fair market value of the business. Consequently, it is important that you establish the fair market valuation method of the business in advance in the business will. You can use some multiple of EBITDA, Top Line Revenue, etc., but it is incredibly important this formula is within the business will. This will protect your family from getting low balled after the fact and also set a fair buyout with partners in a business transition situation.

Get a buy sell agreement established – Once you have determined the fair market value of the business, the next step whether it be current partners or a business successor is to get a buy sell agreement set up. This agreement works the best when it is funded with some form of life insurance. The main reason you want this as part of your business will is that using life insurance within the buy sell will create the smoothest transition for your family. In the case of death, the insurance policy will be structured to buy out your portion of the fair market value of the business and then result in your family getting the insurance proceeds from the check. This way the business will transition smoothly and your family doesn’t have to worry about being involved in the business.

What happens to the real estate? When business owners start seeing stable cash flow in their business, many owners turn next to buying a piece of real estate to house their employees or house their inventory. This makes perfect sense because as long as the business stays solvent, the real estate is essentially another retirement asset on top of the value of the business. However, there isn’t often a discussion about what will happen to that real estate if the business owner dies, especially when they have partners. The business will should clearly stipulate whether there will be a buyout of the property upon death of a partner owner or whether the family can continue to be part of the real estate?

Force Your Family To Sell – You family may not know what to do when you pass away with the business. Since the business itself becomes almost like a family member, your children depending on their ages or your spouse may feel like they need to carry on with the business to continue your legacy. However, you may know better what should happen with the business and can stipulate that the business should be sold immediately upon your death. The key here is to lay out specific plans on what you want to see happen upon your death.

No matter what stage you are at in your business, it is never too soon to get a business will in place for your business!

]]>https://www.yoursmartmoneymoves.com/2017/09/23/four-moves-every-business-owners-needs-to-make-with-a-business-will/feed/0121515 Ways To Start Investing For Less Than $100https://www.yoursmartmoneymoves.com/2017/09/16/5-ways-to-start-investing-for-less-than-100/
https://www.yoursmartmoneymoves.com/2017/09/16/5-ways-to-start-investing-for-less-than-100/#commentsSat, 16 Sep 2017 14:00:31 +0000http://yoursmartmoney.wpengine.com/?p=12144
Not everyone has a big lump sum of money or some family inheritance to invest when they get started. In fact, the very reason many people don’t get started investing is because they don’t feel they have enough money. With the power of some cool apps and the internet, there are many ways to get started investing even if you don’t have $100. Here are five ways to start investing for less than $100 Is It Time To Call RobinHood? RobinHood is an app that is catching on with those who are just starting to open an investment account, especially those people who want to buy stocks. This platform has zero minimum investment (well, you will have to invest something to be able to buy some stocks) and it also is a zero commission trading platform. There are some regulatory trading charges that are minimal in cost, so this could be a decent opportunity to get started as a basic investor. Where Should You Keep Your ‘Stash’? Stash is an...]]>

Not everyone has a big lump sum of money or some family inheritance to invest when they get started. In fact, the very reason many people don’t get started investing is because they don’t feel they have enough money. With the power of some cool apps and the internet, there are many ways to get started investing even if you don’t have $100. Here are five ways to start investing for less than $100

Is It Time To Call RobinHood?

RobinHood is an app that is catching on with those who are just starting to open an investment account, especially those people who want to buy stocks. This platform has zero minimum investment (well, you will have to invest something to be able to buy some stocks) and it also is a zero commission trading platform. There are some regulatory trading charges that are minimal in cost, so this could be a decent opportunity to get started as a basic investor.

Where Should You Keep Your ‘Stash’?

Stash is an app that can help you get started for as little as $100. With Stash you are going to have the opportunity to buy an exchange traded fund or one of the prepackaged solutions that Stash has put together for you. You can decide if you want a ‘techie’ platform or a ‘green and clean’ platform. They typically charge $1 per month up to $5,000, and then it will cost you .25% management fee per year plus the costs of the funds.

Who Knew Spending Money Could Be Saving Money?

Have you ever heard that term you should be squirreling away your Acorns? Acorn is a platform that attempts to help you save small amounts of money every time you make a purchase. With this app, you agree to link in credit cards or debit cards (or whatever you use to make your daily purchases). Acorn then rounds up your purchase to the nearest dollar and then puts that spare change into your bank account. For example, if you make a purchase for $20.45, Acorn will round up to $21 and put the extra .55 cents into your investment account. Much like a change jar, it won’t appear to add up to much when you start saving, but over time you can build up a small investment nest egg. They charge in a similar fashion as Stash.

Time To Go To The Government?

While Savings Bonds may seem to be extremely boring, they are also a low-cost way to be able to start investing for your future. You can go to www.treasurydirect.gov and begin investing as low as $25 in programs such as EE Savings Bonds. For $50, you can also look at I Bonds from the Government as well. Each of these programs work a little bit different, but this is a low-cost way to begin learning about and getting used to making ongoing investments.

Could Your Local Bank Be Helpful?

Most people know that the bank isn’t going to get you the greatest return on your money right now, but it is a very easy way to get started investing. Whether you go to your local credit union, your local bank, or use an online bank, opening up a share account or savings account will allow you to begin systematically adding to your bank account. Especially for your children, this can be a great place to start so you can teach them how to read a bank statement.

]]>https://www.yoursmartmoneymoves.com/2017/09/16/5-ways-to-start-investing-for-less-than-100/feed/212144What Women Need To Rethink About Their Money After Divorcehttps://www.yoursmartmoneymoves.com/2017/09/02/what-women-need-to-rethink-about-their-money-after-divorce/
https://www.yoursmartmoneymoves.com/2017/09/02/what-women-need-to-rethink-about-their-money-after-divorce/#commentsSat, 02 Sep 2017 14:00:19 +0000http://yoursmartmoney.wpengine.com/?p=12137
Have you ever heard that term ‘they traded in for a new model’ when it comes to discussion around a divorce? While divorce is never emotionally easy, the more challenging part especially for women is thinking about how to get their finances set after the divorce is finalized. Many women don’t build a financial plan to recalculate their own goals and objectives, nor do they always fully understand the implications of child support, alimony, or how to best get the assets set up that they took over after the divorce. Here are five important consideration every woman should rethink after the divorce. Your Home – The last thing in the world you want to do is to sell the house that your kids are used to or move to a new school district. Just the thought of making new friends, new neighbors, and navigating a new school traffic pattern in the morning can be daunting. However, many women take the equity in the home as part of a divorce...]]>

Have you ever heard that term ‘they traded in for a new model’ when it comes to discussion around a divorce? While divorce is never emotionally easy, the more challenging part especially for women is thinking about how to get their finances set after the divorce is finalized. Many women don’t build a financial plan to recalculate their own goals and objectives, nor do they always fully understand the implications of child support, alimony, or how to best get the assets set up that they took over after the divorce. Here are five important consideration every woman should rethink after the divorce.

Your Home – The last thing in the world you want to do is to sell the house that your kids are used to or move to a new school district. Just the thought of making new friends, new neighbors, and navigating a new school traffic pattern in the morning can be daunting. However, many women take the equity in the home as part of a divorce settlement and this means you truly have a completely illiquid asset. Thus, when child support and/or alimony runs out, will you be able to afford the upkeep and maintenance of the home as you do today?

Your Beneficiaries – One of the biggest mistakes I see after a divorce is the failure to update your beneficiary information. It’s likely that your ex was the primary beneficiary and you never named contingent beneficiaries on your life insurance policies and your retirement accounts. It’s a good time to go back and determine what family members should be on your beneficiary designations as your IRA’s and life insurance contracts are an operation of law at death. They will go exactly to the people you will list on the accounts when you die. Don’t let your ex get the funds because they probably will if you don’t change this designation.

Calling All QDRO’s – Until you go through a divorce, you probably won’t hear the term Qualified Domestic Relations Order (QDRO). Retirement plan assets can be split up this way if done correctly without penalty through a divorce or mediation agreement. Most 401(k) and IRA administrators will be fully equipped to handle these transfers. In some plans monies can be paid immediately while others can only be done when your spouse technically retires. You should carefully consider the strategy in these accounts because maybe your ex was more conservative or more aggressive than you are as it pertains to how risky your investments should be depending on your goals.

Reset Your Budget – It might be true that for the past 10, 15, or 20 years you didn’t even pay the majority (or any) of the bills. In fact, you never really had to live on a budget because you pretty much bought what you want. This is a great time to take stock and go through the math of exactly what inflows are going to come into your household and what outflows you will have on a monthly basis. Far too often, I have seen recent divorcees really blow through their cash because they underestimated the cost of living.

Get Good Counsel – If you consider the main areas of legal, tax, and financial planning, now is the time to rethink who your lawyer, CPA, and financial advisor will be going forward. You may end up keeping the same people if you think you can trust them, but now may be the time to shift gears and get your own team of people in place. What’s most important is that your team talks to each other and gets your overall plan in concert. Look to get a Certified Financial Planner CFP® on the financial planning side and get an attorney who charges flat fee for documents instead of hourly.

Hopefully these five tips can help you avoid key financial mistakes people make in a divorce. You never know long you will have to take of you going forward, so make sure you get a good game plan in place.

If you worried or thinking about these issues, e-mail me at ted@oxygenfinancial.net and I can help put a plan together for you.

]]>https://www.yoursmartmoneymoves.com/2017/09/02/what-women-need-to-rethink-about-their-money-after-divorce/feed/112137What Fantasy Football Can Teach You About Diversification (or Your Financial Plan)https://www.yoursmartmoneymoves.com/2017/08/26/what-fantasy-football-can-teach-you-about-diversification-or-your-financial-plan/
https://www.yoursmartmoneymoves.com/2017/08/26/what-fantasy-football-can-teach-you-about-diversification-or-your-financial-plan/#commentsSat, 26 Aug 2017 17:29:22 +0000http://yoursmartmoney.wpengine.com/?p=12129
The football season is upon us again here as the fall rolls around and neighborhoods and workplaces are buzzing with Fantasy Football fever. The Fantasy Trade Sports Association commented that the Fantasy Football market is more than a 70 billion dollar industry today and growing. With so many people joining multiple leagues, what can this popular game teach us about how we manage our portfolios and diversify our assets. Do Your Homework? It’s shocking how many people don’t know what they own in their 401(k), IRA, or their brokerage accounts. You may have purchased a target fund or some growth and income fund, but you don’t actually know what you own. Moreover, you may not understand the risks on how much you could gain in one year or how much you could potentially lose in one year. It’s important to read the prospectus before you invest, look at the track record of the investment you will be making, and learn more about who will be managing your money. Don’t just...]]>

The football season is upon us again here as the fall rolls around and neighborhoods and workplaces are buzzing with Fantasy Football fever. The Fantasy Trade Sports Association commented that the Fantasy Football market is more than a 70 billion dollar industry today and growing. With so many people joining multiple leagues, what can this popular game teach us about how we manage our portfolios and diversify our assets.

Do Your Homework?

It’s shocking how many people don’t know what they own in their 401(k), IRA, or their brokerage accounts. You may have purchased a target fund or some growth and income fund, but you don’t actually know what you own. Moreover, you may not understand the risks on how much you could gain in one year or how much you could potentially lose in one year. It’s important to read the prospectus before you invest, look at the track record of the investment you will be making, and learn more about who will be managing your money. Don’t just pick an investment because you heard it is a good one for your money.

Don’t Bet On One Player?

With all of the hoopla around the FAANG stocks and the transformation of blue chip central moving from the east coast to the west coast, be very very careful about picking just one company for all of your assets. It can be incredibly tempting to tell yourself that some of these technology companies have ‘no way of losing’, but be mindful that the tables can turn quickly if a company gets injured just like a player can on the field. Remember, in the smartphone space companies such as Motorola, Nokia, and Blackberry were thought of as companies that you could never lose money on and look at how they have done the past ten years.

Do You Need Insurance?

In Fantasy Football, there are actually several companies who offer Fantasy Football Insurance. Insurers can pick one of three policies the policy price will vary depending on how many players you choose to insure). For example, you can insure your most important star player against missing nine games in the event of an injury. If the fantasy football pool is $200, it will cost you around $20 to ensure that one player. With your overall investment portfolio, you might consider using an insurance company to help you mitigate some risk or use stop losses to limit your downside risk. Either way, you may need to consider how to protect your nest egg with the markets hovering at all-time highs.

Monitor and Track Performance

It’s important that at least once per quarter you sit down either with a professional or on your own and track the performance of all your investments. Just like Fantasy Football, some star players may take a turn for the South or some players will come off the bench and end up being a diamond in the rough. The worst thing you can do is to just sit on the sidelines and assume that your players will perform. Remember, coaches and players also change teams. Just because a mutual fund has a good track record doesn’t mean it will necessarily do better in the future if the fund manager who ran that fund switched teams to go to another company.

]]>https://www.yoursmartmoneymoves.com/2017/08/26/what-fantasy-football-can-teach-you-about-diversification-or-your-financial-plan/feed/1121297 FAFSA Mistakes That Could Crush Getting FREE Moneyhttps://www.yoursmartmoneymoves.com/2017/08/18/7-fafsa-mistakes-that-could-crush-getting-free-money/
https://www.yoursmartmoneymoves.com/2017/08/18/7-fafsa-mistakes-that-could-crush-getting-free-money/#respondFri, 18 Aug 2017 18:20:36 +0000http://yoursmartmoney.wpengine.com/?p=12121
In many parts of the country kids are already back at school and the rest of the children will be starting right after Labor Day. While the college football season is kicking off, most families don’t realize that applying for free financial aid is literally right around the corner for 2018. The problem is that most people don’t understand how the process actually works and often sell themselves short of getting free money that could help offset the growing cost of college. Here are seven mistakes that could crush your ability to get free money for 2018. Fill out the FAFSA form on October 1st – If you are interested in getting the most possible money from the Free Application For Student Aid, then you must fill out the forms by October 1st. Some of the financial awards are issued on a first come first serve basis, so when you fill out the form matters. Some states and some colleges will run out of money early, so the early bird...]]>

In many parts of the country kids are already back at school and the rest of the children will be starting right after Labor Day. While the college football season is kicking off, most families don’t realize that applying for free financial aid is literally right around the corner for 2018. The problem is that most people don’t understand how the process actually works and often sell themselves short of getting free money that could help offset the growing cost of college. Here are seven mistakes that could crush your ability to get free money for 2018.

Fill out the FAFSA form on October 1st – If you are interested in getting the most possible money from the Free Application For Student Aid, then you must fill out the forms by October 1st. Some of the financial awards are issued on a first come first serve basis, so when you fill out the form matters. Some states and some colleges will run out of money early, so the early bird gets the worm. The myth here is that most families believe this is 100% a need based process when it is not. Remember, the tax requirements changed and FAFSA will be using your 2015 returns for better or for worse and not your 2016 returns.

Not filing by the deadline – Ok, so you didn’t heed my advice for section one because you either forgot or just didn’t have the time to get it done early. The next colossal mistake is missing your state deadline or the deadline from your college. If you look up the website fafsa.gov/deadline you can find out what is the actual deadline for your state for applying for financial aid. Missing this date will be a huge mistake if you are trying to get free aid.

Not reading the asset questions – Most people mistakenly assume that all your assets are included with FAFSA, so many families do not even attempt to fill out the form because they automatically assume they will be declined. There are many assets such as the value of your business, your IRA accounts, and the equity in your primary residence that are not included for FAFSA purposes. In fact, when people build their financial plans they often don’t consider the long-term ramifications of planning for college with their current short term decisions such as should you pay your mortgage off quicker.

Reading the FAFSA definitions – FAFSA has very detailed criteria on which parents need to be listed, which people are considered family members, and which family members will attend college at the same time. One common mistake is that if you have three children in college with one of them being the student who is currently filling out the FAFSA forms, parents will often list two in college versus three. That alone could end up costing you money.

Listing only one college – Let’s say you are extremely sure you will go to one college in your state. It is a big mistake on FAFSA forms to list only that one college instead of all of the colleges that could potentially plan to attend. There is no penalty to adding more schools on your FAFSA forms. According to fafsa.gov, you don’t even have to remove schools you later decide not to apply to down the road. That particular school can just disregard your FAFSA.

Use the right website – There are many websites that talk about FAFSA or may ask you to pay money to fill out the FAFSA form. The website is fafsa.gov and you NEVER have to pay a fee to apply for the Free Application For Student Aid.

Sign your application – This may seem silly, but for various reasons some students and parents forget to actually sign the FAFSA forms. Double check your work and make you sign the application on October 1st to get a jump on your competition.

If you are struggling with how to fill out FAFSA forms and plan for your children’s college education, give me a call or shoot me an e-mail at ted@oxygenfinancial.net and we can help you become an expert in FAFSA.

]]>https://www.yoursmartmoneymoves.com/2017/08/18/7-fafsa-mistakes-that-could-crush-getting-free-money/feed/012121Do Millennials Face “Money Bullying”?https://www.yoursmartmoneymoves.com/2017/08/12/do-millennials-face-money-bullying/
https://www.yoursmartmoneymoves.com/2017/08/12/do-millennials-face-money-bullying/#respondSat, 12 Aug 2017 15:11:51 +0000http://yoursmartmoney.wpengine.com/?p=12115
Have you experienced the same thing at home that I have been experiencing over the past few years. As you plan out great family vacations, wonderful dinners, and cool birthday activities, you often find conversations about how one of your kid’s friends always seem to be doing something better? I guess part of this has never really changed. No matter how cool of a shin dig you end up putting together, there is always someone else who has Johnny one upped you already. The difference with our kids today is that the vacations, the new clothes purchases, the new cars, and the special events are so much more in your face with Snapchat and Instagram with pictures meaning more than just a few words. In a recent study done by TD Ameritrade, some extremely interesting data came out about Millennials and their comfort level about discussing money. While 56% of young millennials feel comfortable talking to their parents about money, only 53% feel comfortable talking to a financial advisor. What...]]>

Have you experienced the same thing at home that I have been experiencing over the past few years. As you plan out great family vacations, wonderful dinners, and cool birthday activities, you often find conversations about how one of your kid’s friends always seem to be doing something better? I guess part of this has never really changed. No matter how cool of a shin dig you end up putting together, there is always someone else who has Johnny one upped you already. The difference with our kids today is that the vacations, the new clothes purchases, the new cars, and the special events are so much more in your face with Snapchat and Instagram with pictures meaning more than just a few words.

In a recent study done by TD Ameritrade, some extremely interesting data came out about Millennials and their comfort level about discussing money. While 56% of young millennials feel comfortable talking to their parents about money, only 53% feel comfortable talking to a financial advisor. What the staggering statistic of the study revealed is that only 29% of all young millennials are comfortable talking about money with their friends. In fact, the study showed that many young millennials actually consider their friends to be budget busters. More than one third of the young millennials feel extreme pressure to keep up with their friends purchases and most of this was driven by the pictures of the purchases and vacations that they see online.

There is a lot of discussion about bullying and cyberbullying today in the media. However, none of the discussions talk about the vicious side effect of ‘money bullying’ and the effect this has on our money habits. The old traditional keeping up with Joneses was all about what your neighbors were doing. You could see the 2 cars in the driveway, the installation of a pool in the backyard, or whatever material purchases they were wearing such as jewelry. Today’s world provides such a limited glimpse into the lives of others that you actually can’t make a distinction about one individual, but instead our brains are masked with the multitude of powerful images that skim past our brain as we scroll through our daily Facebook and Instagram updates. Here are a few tips to consider to help your kids (or yourself) with money bullying.

Nobody Posts A Net Worth Statement On Social Media – Remember, until the mask comes off you don’t really know what someone is worth. Some people spend all of their money living today and not caring about tomorrow whereas some will save like crazy today to enjoy more of it tomorrow. Take stock that you don’t know someone’s net worth.

A Picture Is An Isolated Incident – Just because you see a picture of someone basking in the sun having a cocktail on the Amalfi Coast doesn’t mean they are enjoying that lifestyle all the time. If you want to really see what is happening, seriously look at all of the pictures on their profile along with the timelines and you might realize that this is just one trip they have taken in the last two years.

Remember, Money Doesn’t Buy Happiness – It might look like your friend is happy in that picture, but money can’t make you happy over the long haul. It may momentarily bring you some joy for a trip or a purchase, but real happiness is derived from much more than spending a few Benjamin’s.

Be A Leader – Even your Millennial friends who are having great dinners and fabulous cocktails will eventually struggle with managing their cash flow as well. Set up a night where you and your friends discuss how money make you feel and what concerns or scares you so the group can see that all of you are feeling some of the same emotions. While your parents may be your most trusted resource, you don’t want to feel like your friends are doing so much better than you when the truth is they are dealing with the same issues that you are right now.

You are always going to meet someone who is due a bigger inheritance, gets more handouts, and experiences better things than you do, never ever feel bullied that you have to spend money to keep up with others. The best thing you can do is to find someone you feel comfortable to talk about your money issues so you can feel confident about planning for your future.

]]>https://www.yoursmartmoneymoves.com/2017/08/12/do-millennials-face-money-bullying/feed/0121155 Ways To Ruin Your Retirementhttps://www.yoursmartmoneymoves.com/2017/08/05/5-ways-to-ruin-your-retirement/
https://www.yoursmartmoneymoves.com/2017/08/05/5-ways-to-ruin-your-retirement/#commentsSat, 05 Aug 2017 17:44:46 +0000http://yoursmartmoney.wpengine.com/?p=12106
One of the worst feelings in the world is to worry about retirement especially after you have retired. Recently, I sat down with someone who kept telling me they worried about running out of money. The fear was so real that it was preventing them from even enjoying the few trips and vacations they were taking during retirement. The reason we plan and track during retirement so often is to ensure that you don’t ruin your retirement. If you are in your 40’s, 50’s or 60’s and thinking about retiring soon, here are five ways you can ruin your retirement. Carrying Too Much Debt A Large Mortgage (Too Much Refinancing) – While refinancing seems like a no brainer where rates are today, you need to consider looking at a 15-year loan vs. 30-year loan so you don’t carry a mortgage into retirement. This can be a real problem if you don’t have the same level of income to pay a hefty mortgage. 401(K) Loans – will you be able to...]]>

One of the worst feelings in the world is to worry about retirement especially after you have retired. Recently, I sat down with someone who kept telling me they worried about running out of money. The fear was so real that it was preventing them from even enjoying the few trips and vacations they were taking during retirement. The reason we plan and track during retirement so often is to ensure that you don’t ruin your retirement. If you are in your 40’s, 50’s or 60’s and thinking about retiring soon, here are five ways you can ruin your retirement.

Carrying Too Much Debt

A Large Mortgage (Too Much Refinancing) – While refinancing seems like a no brainer where rates are today, you need to consider looking at a 15-year loan vs. 30-year loan so you don’t carry a mortgage into retirement. This can be a real problem if you don’t have the same level of income to pay a hefty mortgage.

401(K) Loans – will you be able to pay back?- Also, some people take 401(k) loans to assist their children’s college education. Remember, if you leave your employer, you need to be certain they will still allow you to pay back a 401(k) loan or you will be stuck with a taxable event prior to retirement that will reduce your capital base for retirement.

Not Checking Your Actual Social Security

Double Check To See If Income Was Misreported – I know it seems like this could never happen, but I see this all the time. Especially now that we have more 1099 contractors and people who own their business. Make sure to set up an online account at ssa.gov and check your taxable earning on your Social Security statement.

Figure Out The Best Age To Start Collecting – This is a big trickier to figure out, but whether you are single or married, it is smart to figure out whether to take Social Security early, at full retirement age, or wait until 70.

Taking Too Much Risk

What Happens If Your Portfolio Drops 25% In Retirement – Most people work hard on their investments during the accumulation period, but what happens if you take a hit during decumulation period? Can you stomach this in retirement, especially now that the market has been up for so many years in a row.

Betting You’ll Get Income From Your Rental Properties – While renting out properties and buying them seem attractive today, what happens if you get another 2008? Can your retirement handle two properties that go empty for six months?

You Don’t Talk With Your Spouse/Partner

You Both Say You Like Biking… (Motorcycles or Bikes)?

You Want To Live In The City/They Want To Live At The Beach – For both of these, one way you can kill your retirement is not discussing with your partner or spouse what you will do in retirement. While goal setting on the emotional side can be difficult to do, the worst thing in the world is to have a ton of money but you don’t know what to do with each other…or worse yet you never see each other at all.

You Don’t Plan For Health Expenses

What Happens If You Retire Before The Age Of 65? – If you decide to make work optional before the age of 65, what happens if you need medical care because you have a catastrophic illness and now you don’t carry health insurance? Or, your health insurance is far worse than the one you had at work?

What Happens If You Need Long Term Care? – While this isn’t the most pleasant thing in the world to talk about, the cost of nursing home care is skyrocketing. You should consider figuring out your game plan for the potential of needing skilled care at your home or going into a nursing home for a period of time. Not planning for this has ruined many retirements for spouses and partners because it eats away at your capital base.

]]>https://www.yoursmartmoneymoves.com/2017/08/05/5-ways-to-ruin-your-retirement/feed/1121065 Ways To Pays For College Without Student Loanshttps://www.yoursmartmoneymoves.com/2017/07/29/5-ways-to-pays-for-college-without-student-loans/
https://www.yoursmartmoneymoves.com/2017/07/29/5-ways-to-pays-for-college-without-student-loans/#commentsSat, 29 Jul 2017 16:57:57 +0000http://yoursmartmoney.wpengine.com/?p=12100
The Economist reported in June 2014 that U.S. student loan debt exceeded $1.2 trillion, with over 7 million debtors in default. Public universities increased their fees by a total of 27% over the five years ending in 2012, or 20% adjusted for inflation. Public university students paid an average of almost $8,400 annually for in-state tuition, with out-of-state students paying more than $19,000. (source:Wikipedia). With, costs rising out of control for four years of college, how can someone build a plan to pay for college without incurring student loans? Seek out all and any scholarships – While this may sound like a “no duh” type statement, the reality is that most families are woefully unprepared when it comes to searching for scholarships and often think they will not get any at all if they make too much income. There are two great websites to begin with including fastweb.com and www.collegeboard.org which can help with starting you off on the track to begin your scholarship search. While it is true there are...]]>

Public universities increased their fees by a total of 27% over the five years ending in 2012, or 20% adjusted for inflation. Public university students paid an average of almost $8,400 annually for in-state tuition, with out-of-state students paying more than $19,000. (source:Wikipedia). With, costs rising out of control for four years of college, how can someone build a plan to pay for college without incurring student loans?

Seek out all and any scholarships – While this may sound like a “no duh” type statement, the reality is that most families are woefully unprepared when it comes to searching for scholarships and often think they will not get any at all if they make too much income. There are two great websites to begin with including fastweb.com and www.collegeboard.org which can help with starting you off on the track to begin your scholarship search. While it is true there are many need based scholarships, there are plenty to be found for unusual types of scholarships. Two good example are the Duck Tape scholarship for the best Duck Tape Prom Dress/Suit, and the Jif Most Creative Peanut Butter Sandwich Scholarship.

Start at community college first – When you have interviewed for a new position or job, did an employer ever ask you where you began your college career? Or, do they simply look at your resume and see where your finished your college career. While community college may not give you the entire true freshman experience of college, it is a great way to cut some cost down on your way to getting a diploma. I think the real secret people don’t know is that very tough in state schools for freshman admission are substantially easier to get into if you transfer in as a sophomore or a junior. You just need to be sure how many credits actually transfer so you don’t wind up being a freshman again due to lack of credits.

Consider alternative housing – Your current bedroom at Mom and Dad’s isn’t the ideal college experience, but this is about making smart money decisions that will affect your future. Once you make some friends on campus, you may be able to crash at someone’s apartment or dorm here and there. Room and board can be in the $10,000 to $15,000 per year range, so this can be a big cost savings. If you don’t like the concept of living at home, then you might consider finding four to six people to share an apartment or house, or consider getting a resident assistant job on campus in a dorm.

Work – If you hit up the website studentaid.ed.gov, you’ll see how the Federal Work Study Program is laid out for college students. There are a bunch of on campus and off campus opportunities and this working schedule could help you dramatically lower your costs. You could also start with an employer that offers tuition reimbursement and try to balance it out that way. Big employers including Starbucks, Verizon, and Qualcomm all offer tuition reimbursement to their employees.

Fill Out The FAFSA Forms – Remember, the Free Application For Student Aid now begins on October 1st, and money is doled out on a first come first serve basis so the early bird gets the worm. It is also important to fill out these forms correctly. Many parents overstate their assets because they don’t actually read the boxes. I recently had one of my clients who got free aid that told me there was no way they would qualify for anything. If you are lucky enough to get a Pell Grant from FAFSA, then you won’t have to pay them back.

]]>https://www.yoursmartmoneymoves.com/2017/07/29/5-ways-to-pays-for-college-without-student-loans/feed/1121005 Ways You Are Wasting Money Without Even Realizing Ithttps://www.yoursmartmoneymoves.com/2017/07/23/5-ways-you-are-wasting-money-without-even-realizing-it/
https://www.yoursmartmoneymoves.com/2017/07/23/5-ways-you-are-wasting-money-without-even-realizing-it/#commentsSun, 23 Jul 2017 14:08:11 +0000http://yoursmartmoney.wpengine.com/?p=12090
The truth is that more people are struggling with cash flow issues in their finances than they do with their investment assets. The challenge is that we often blow our money in places where we don’t even realize it is going out the back door. $20 here…$100 there…it can seem at times that we are nothing more than our own ATM machine. It’s hard to define the difference between spending money and wasting money, but making quality decisions as the CEO of your family finances is paramount to having a successful personal financial picture. Here are five ways I see that people waste money. Buying Too Large A House – We can convince ourselves that buying a large home is a great idea because we expect long term growth of the value of our home. Remember that primary residence should never be considered an investment, but rather your home. The place you will raise your family or use a source of enjoyment. Unfortunately, what we don’t calculate when we buy...]]>

The truth is that more people are struggling with cash flow issues in their finances than they do with their investment assets. The challenge is that we often blow our money in places where we don’t even realize it is going out the back door. $20 here…$100 there…it can seem at times that we are nothing more than our own ATM machine. It’s hard to define the difference between spending money and wasting money, but making quality decisions as the CEO of your family finances is paramount to having a successful personal financial picture. Here are five ways I see that people waste money.

Buying Too Large A House – We can convince ourselves that buying a large home is a great idea because we expect long term growth of the value of our home. Remember that primary residence should never be considered an investment, but rather your home. The place you will raise your family or use a source of enjoyment. Unfortunately, what we don’t calculate when we buy too large a house are the improvements that we will want to do the home and most importantly the maintenance and upkeep of the home. People that buy a large house quickly realize that they don’t often use half of the home. This means that you will buy furniture and have upkeep for part of your home that you simply won’t enjoy. Also, people don’t realize how much they will spend over twenty years for something such as cleaning services or landscaping services. Think about this for a minute. If cleaning services are $400 a month or $4800 a year, this mean over the course of 20 years you’ll spend $100,000 just to clean the dust!

Movie Snacks – It’s bad enough that we need our own special reserved seat at the theater and some of you even have your own movie theater at home. Nowadays, the cost of a ticket can be $20 in certain cities just to go to the movie. Where they really get you once you enter the theater is at the snack stand. The cost of large popcorn and soda can be close to $15 and the cost for a box of Milk Duds or a pack of Twizzlers can be $5 or $6. Don’t waste money at the movie theater! Instead, consider stopping at a CVS or Walgreens to get boxes of candy for just $1 or if you enjoy popcorn, bring a few Ziploc bags as large popcorns are good for FREE refills at the theater. Who cares what the people think about sitting next to you.

Bottled Water – This is a silent killer just like inflation. Especially for those of you who have children and see how fast a case of bottled water goes by during the school year. Since some bottled water brands can be very expensive, you would be much better off not wasting the money and buying yourself a high-quality water filter and a high-quality reusable water bottle. This will cut your cost down by 50% over the next year.

Your 401(k) Match – When we install 401(k) plans into companies, we are always amazed at how many people don’t sign up even when the company offers a match. One of the biggest ways people waste money is not signing up for the free money that their company offers them. Even though these funds are typically locked up for the long term, a company that offers you a 100% match on your money is dangling a tremendous opportunity in front of you. This doesn’t factor in the compounding of all that free money they give you for retirement.

You Love To Shop In Bulk – So many families love to hit the bulk aisles of grocery stores or one of the major bulk membership clubs. However, bulk deals don’t always mean you’ll get the best deal on what you are buying. You need to do a price check and some math to ask yourself what the actual price per item costs when you buy in bulk. Some simple math can tell you whether or not this is a good deal if you do a quick price check on your phone. Also, you need to consider whether you will actually use everything you buy in bulk. Some items like soda can last longer while other items can go to waste much quicker (i.e.- buying a box of tangerines).

If you are struggling with wasting money and need to get a plan in place e-mail me at ted@oxygenfinancial.net and we can help.

]]>https://www.yoursmartmoneymoves.com/2017/07/23/5-ways-you-are-wasting-money-without-even-realizing-it/feed/3120907 Retirement Shirts I Won’t Be Wearinghttps://www.yoursmartmoneymoves.com/2017/07/16/7-retirement-shirts-i-wont-be-wearing/
https://www.yoursmartmoneymoves.com/2017/07/16/7-retirement-shirts-i-wont-be-wearing/#commentsSun, 16 Jul 2017 14:34:15 +0000http://yoursmartmoney.wpengine.com/?p=12078
When it comes to retirement, many people talk about how much of a lump sum they will need to make work optional. They discuss their future plans full of travel, golf, grandchildren, and giving back to charity. We often hear of the dreams of starting the business they always wanted to run and starting the volunteer work they never had the time for when they were working full time. Over the past twenty-six years, I’ve seen many people retire and helped many retire successfully. At the risk of offending someone out there (because I am sure I will) I spent a few days up in New Jersey over the Fourth Of July and I saw a lot of bad shirts. I mean really bad shirts. Don’t know why it got me to this off the beaten path retirement topic, but I thought I would share my list of seven shirts you’ll never see me wearing during retirement. Remember, if you do end up at Leisure Village, their motto is “It’s...]]>

When it comes to retirement, many people talk about how much of a lump sum they will need to make work optional. They discuss their future plans full of travel, golf, grandchildren, and giving back to charity. We often hear of the dreams of starting the business they always wanted to run and starting the volunteer work they never had the time for when they were working full time. Over the past twenty-six years, I’ve seen many people retire and helped many retire successfully.

At the risk of offending someone out there (because I am sure I will) I spent a few days up in New Jersey over the Fourth Of July and I saw a lot of bad shirts. I mean really bad shirts. Don’t know why it got me to this off the beaten path retirement topic, but I thought I would share my list of seven shirts you’ll never see me wearing during retirement. Remember, if you do end up at Leisure Village, their motto is “It’s the time of your life to have the time of your life!” Unless of course you are wearing a really bad shirt.

Tabasco Button Down Shirt – Don’t get me wrong, I love Tabasco sauce (especially the Pepper blend) but I wouldn’t wear a McIlhenny & Co. printed shirt with shrimp even if I was walking on Bourbon Street. I forbid this one in retirement.

Golf shirts with pictures of golf stuff on it – If you want to play golf in retirement, then I recommend you get as much of it as you can. However, having your attire loaded up with pullover shirts full of antique golf clubs and balls is a no no in retirement.

80’s Cosby Sweaters – This isn’t just because of the whole recent Cosby situation, but these sweaters were god awful in the 80’s and one of those things sure not to make a fashion comeback. If you are wearing one of these in the winter, then you better be sure it is for a retro 80’s party and that’s it.

Tommy Bahama – I know someone reading this really loves Tommy Bahama and I don’t begrudge you for that, but if you live In Hawaii (and Hawaii only) these make more sense to me. The rest of you…not something for retirement and not something I would be wearing in retirement. I don’t get the whole palm tree on every single shirt look.

Tank Tops – Unless you are ready for a game of 3 on 3 basketball and have made the senior circuit of Ice Cube’s new league, the white tank top is a go (even if you do live on the Jersey Shore). The tattoos won’t look quite as cool at the age of 70 as they did when you were thirty.

Abstracts – Triangles, circles, squares, you name it. The bottom line is that all abstract t-shirts, button downs, jackets, etc. are all out of the question. You don’t want to have the final phase of your life represent the beginning part of your life. Look back at some of your old art you did as a kid. It wasn’t good.

Shirtless – For 99% of us, all of the CrossFit, yoga, running, and weightlifting won’t help us defy gravity. No problem at all with those retirees that love to garden, but nothing worse than seeing a 77 year old man doing their yard care shirtless. You have to know when to call it quits. And I will make sure to stock up on cotton t shirts in retirement and never go for this look.

]]>https://www.yoursmartmoneymoves.com/2017/07/16/7-retirement-shirts-i-wont-be-wearing/feed/412078Five Jobs You Can Outsource Todayhttps://www.yoursmartmoneymoves.com/2017/07/09/five-jobs-you-can-outsource-today/
https://www.yoursmartmoneymoves.com/2017/07/09/five-jobs-you-can-outsource-today/#respondSun, 09 Jul 2017 14:43:43 +0000http://yoursmartmoney.wpengine.com/?p=12070
Growing up in a small town, we used to handle all our own chores. There were no cleaning services that came to the house, no extra special coaches for lessons (the high school coach did it all), and nobody brought groceries to the house. People banter about the impact of technology and how that has affected our society, but not often have people talked about the changing dynamics of outsourcing. If you really don’t want to do something, there is a person waiting in the wings to get paid to do it for you. Here is my list of five things you can outsource today. Waiting In Line – taskrabbit.com – Task rabbit will allow you to outsource a ton of different tasks, but if you want to pay someone to wait in line for the next Star Wars move that comes out, no problem they can find you your man (or woman) for the job. Walking Your Dog – (load the app WAG)- Want a person who will do...]]>

Growing up in a small town, we used to handle all our own chores. There were no cleaning services that came to the house, no extra special coaches for lessons (the high school coach did it all), and nobody brought groceries to the house. People banter about the impact of technology and how that has affected our society, but not often have people talked about the changing dynamics of outsourcing. If you really don’t want to do something, there is a person waiting in the wings to get paid to do it for you. Here is my list of five things you can outsource today.

Waiting In Line – taskrabbit.com – Task rabbit will allow you to outsource a ton of different tasks, but if you want to pay someone to wait in line for the next Star Wars move that comes out, no problem they can find you your man (or woman) for the job.

Walking Your Dog – (load the app WAG)- Want a person who will do the dirty work of walking your dog when you aren’t up for the challenge. (When the app loads it says loading in PAWGRESS…get it…lol). They make it easy for you put in your location and your information and get yourself a dog walker.

Never Assemble Furniture Again – zemblee.com – Do you remember the first time you put together a piece of IKEA furniture only to have four loose pieces at the end of the job leftover? Zembleee says that if it comes with instructions they can build it for you. Might be better than the frustration of reading instructions that never make sense anyway.

Answering Your Phone – callruby.com – It’s hard to explain to people why you don’t respond to their texts within a split second or have delays in returning their calls. Maybe your best bet is to hand over the simple task of answering your phone to a third party. Ruby’s service can answer your phone and even help you take action on your calls.

Just about anything – zirtual.com – You need an assistant or someone to take care of everyday tasks? Zirtual is great for professionals and entrepreneurs that need help with picking up personal items, doing research, or handling scheduling.

]]>https://www.yoursmartmoneymoves.com/2017/07/09/five-jobs-you-can-outsource-today/feed/012070Big Financial Pitfalls If You Plan On Working Longerhttps://www.yoursmartmoneymoves.com/2017/07/01/big-financial-pitfalls-if-you-plan-on-working-longer/
https://www.yoursmartmoneymoves.com/2017/07/01/big-financial-pitfalls-if-you-plan-on-working-longer/#respondSat, 01 Jul 2017 14:08:41 +0000http://yoursmartmoney.wpengine.com/?p=12063
There are more people I meet every day who tell me that they aren’t planning to retire early, but instead enjoy life a little bit more and succumb to the fact that they are going to have to work later into their lives. While on the surface this all seems fine and dandy, the harsh reality is that there are some major pitfalls with trying to work past the age of 65. This strategy is often filled with some pretty unrealistic expectations and can have close to retirement families grasping for straws if their plan isn’t executed successfully. Here are my pitfalls and tips to be thinking about if you want to work past the age of 65. Reality vs. Fantasy – In a recent study by the employee benefit research, 38% of the workers in the workforce expect to retire at the age of 70 and only 4% actually retire at the age of 70. So, many workers are thinking that they will last until the age of 70,...]]>

There are more people I meet every day who tell me that they aren’t planning to retire early, but instead enjoy life a little bit more and succumb to the fact that they are going to have to work later into their lives. While on the surface this all seems fine and dandy, the harsh reality is that there are some major pitfalls with trying to work past the age of 65. This strategy is often filled with some pretty unrealistic expectations and can have close to retirement families grasping for straws if their plan isn’t executed successfully. Here are my pitfalls and tips to be thinking about if you want to work past the age of 65.

Reality vs. Fantasy – In a recent study by the employee benefit research, 38% of the workers in the workforce expect to retire at the age of 70 and only 4% actually retire at the age of 70. So, many workers are thinking that they will last until the age of 70, but the numbers drop off substantially before that time actually happens.

What If Your Company Chops You? – Prudential recently did a study and every year a worker delays the inevitability of retiring it costs the company another $50,000. If you are at the upper end of the scale of income it could cost the company your salary plus 40% for benefits and taxes. This is why you are witnessing companies like Ford more aggressively offer job severance packages to keep their costs down. In addition 2/3rd’s of the workers won’t even make it to the age of 65 with their employer due to layoffs, regoranizations, or overall general unhappiness with their job.

You Don’t Have The Job Skills – Even though many workers want to stay with the employers for the long haul, the question is do they have the skills to continue to add value to their company in their current job. When the costs become extremely high to a company, they start assessing if they can afford two lower salaries for the price of the one higher salary.

What can you do today to help avoid some of these planning pitfalls?

Pay off your mortgage early – Forget about your interest rate on the mortgage. Apply extra principal every month, chunk down the mortgage when you get a bonus, or move to bi-weekly payments. It will lighten your backpack down the road.

Sharpen the saw – Especially when it comes to technology skills, technology positions will be the ones in the most demand down the road.

Make catch up contributions – In the year you turn the age of 50, you can start increasing your total 401k, 403b, etc. contributions from $18,000 per year to $24,000 per year. It would blasphemous not to do this.

Start curbing your spending – Act as if…you were retired today- could you live off a lower income. Try it for a year- it is the only way to know.

Get your affairs in order – Most people have collected lots of financial boxes over their lifetime. It is a great time to consolidate and your overall financial affairs in order.

]]>https://www.yoursmartmoneymoves.com/2017/07/01/big-financial-pitfalls-if-you-plan-on-working-longer/feed/012063Four Alternatives to Consider if the Stock Market Declineshttps://www.yoursmartmoneymoves.com/2017/06/29/four-alternatives-to-consider-if-the-stock-market-declines/
https://www.yoursmartmoneymoves.com/2017/06/29/four-alternatives-to-consider-if-the-stock-market-declines/#commentsThu, 29 Jun 2017 13:20:58 +0000http://yoursmartmoney.wpengine.com/?p=12060
sponsored by Midland National With the markets hitting an all-time high the other week soaring over 21,000, many people have been asking this question, “when is the market going to decline?” While nobody has a crystal ball, it might be time to start thinking about where you could put your money if you are concerned that the markets are going to decline in the 2nd half of 2017. Here are four alternatives to consider for your money to consider if that happens. Cash – Remember, return of principal can sometimes be better than return on principal especially while the markets are spiraling on a downward trend. Even though your average savings account may pay .20% to .40%, you could leave your money in an FDIC insured account and then slowly dollar cost average your way back into the overall market. You could also consider using Certificates of Deposit (CD’s) as an alternative cash idea if you don’t want to leave the money in a money market account or in a...]]>

With the markets hitting an all-time high the other week soaring over 21,000, many people have been asking this question, “when is the market going to decline?” While nobody has a crystal ball, it might be time to start thinking about where you could put your money if you are concerned that the markets are going to decline in the 2nd half of 2017. Here are four alternatives to consider for your money to consider if that happens.

Cash – Remember, return of principal can sometimes be better than return on principal especially while the markets are spiraling on a downward trend. Even though your average savings account may pay .20% to .40%, you could leave your money in an FDIC insured account and then slowly dollar cost average your way back into the overall market. You could also consider using Certificates of Deposit (CD’s) as an alternative cash idea if you don’t want to leave the money in a money market account or in a savings account.

Hard Assets – Some of you may remember back in 2008, when the markets were getting hit, some people did well in assets classes such as silver and gold. While most people think about a hard asset being real estate, there are other assets that you can physically buy, including gemstones like diamonds, collectibles (art, cars), and precious metals. All are possibilities to consider when the stock market goes south.

Fixed Index Annuities – Even though the word annuity sometimes gets hit with a negative slant, you probably don’t hear contract holders complaining about the guaranteed retirement income they can provide. These kinds of products are offered by many insurance companies, and Midland National Life Insurance Company is a highly rated and well established life insurance company that you could check out when looking at these types of annuities. You may give up some of your upside in the products by having a cap on the upside growth of a particular index (i.e. the S&P 500 cap may be 5% in a particular year as an example), but you will have no loss of premium due to market downturns.

Land – Will Rogers had a famous saying about land, “They ain’t making any more of it”. If you have the hold time, land can be an alternative opportunity when the stock market declines. You should look for land in areas where property values may have gone down or the population inflow exceeds the population outflow. Land requires having patience because it is a long-term investment, but one that could be a place holder in a sustained downturn in the equity markets.

The opinions expressed in this commentary are those of the author and may not necessarily reflect those held by Kestra Investment Services, LLC or Kestra Advisory Services, LLC. This is for general information only and is not intended to provide specific investment advice or recommendations for any individual. It is suggested that you consult your financial professional, attorney, or tax advisor with regard to your individual situation.

Fixed Index Annuities are not a direct investment in the stock market. They are long term insurance products with guarantees backed by the issuing company. They provide the potential for interest to be credited based in part on the performance of specific indices, without the risk of loss of premium due to market downturns or fluctuation. Although Fixed Index Annuities guarantee no loss of premium due to market downturns, deductions from your Accumulation Value for additional optional benefit riders could under certain scenarios exceed interest credited to the Accumulation Value, which would result in loss of premium. They may not be appropriate for everyone. “Income”or “lifetime income” refers to guaranteed payment of Lifetime Payment Amounts (“LPAs”). It does not refer to interest credited to the contract. Advise clients to consult with their own tax advisor regarding tax treatment of LPAs, which will vary according to individual circumstances.

]]>https://www.yoursmartmoneymoves.com/2017/06/29/four-alternatives-to-consider-if-the-stock-market-declines/feed/112060Slip The Hostess A $50 Billhttps://www.yoursmartmoneymoves.com/2017/06/24/slip-the-hostess-a-50-bill/
https://www.yoursmartmoneymoves.com/2017/06/24/slip-the-hostess-a-50-bill/#commentsSat, 24 Jun 2017 15:56:14 +0000http://yoursmartmoney.wpengine.com/?p=12048
What’s your worst nightmare on a Saturday night? We live near a massive outdoor shopping and eating complex called Avalon. Filled with 20 or so restaurants, it’s generally buzzing on the weekends with couples and families walking around spending money in the stores and grabbing a bit at the cuisine of their choice. My worst nightmare on a Saturday night is taking the family out or meeting some friends and stepping up to the hostess who tells me it is going to be an hour and a half wait to get a table and puts our name into the software so we can track how far back we are in the line to eat. Nightmare, nightmare, nightmare!! A few weeks ago, a friend of mine flew into town and we went to grab dinner at a hot spot in Buckhead where they told us our wait was going to be one hour and fifteen minutes. When I heard the hostess shout out the lengthy amount of time we would have...]]>

What’s your worst nightmare on a Saturday night? We live near a massive outdoor shopping and eating complex called Avalon. Filled with 20 or so restaurants, it’s generally buzzing on the weekends with couples and families walking around spending money in the stores and grabbing a bit at the cuisine of their choice. My worst nightmare on a Saturday night is taking the family out or meeting some friends and stepping up to the hostess who tells me it is going to be an hour and a half wait to get a table and puts our name into the software so we can track how far back we are in the line to eat. Nightmare, nightmare, nightmare!!

A few weeks ago, a friend of mine flew into town and we went to grab dinner at a hot spot in Buckhead where they told us our wait was going to be one hour and fifteen minutes. When I heard the hostess shout out the lengthy amount of time we would have to stick around, I told my friend we’d be best off finding somewhere else to be. Then it happened. Something that I’ve seen work in the movies and thought had gone out the window circa 1985 and my friend changed my mind about what kinds of financial tactics still work in today’s modern day and age.

He glanced at the hostess and said, “Hey, can I ask you a favor?” as he pushed a $20 bill across the counter. “I’m sure that there is nothing you can do, but please take this if there are any openings that happen to come up quicker then let us know.” When I saw him push the money across the hostess stand not even done in a discreet way I thought to myself how embarrassing this situation is going to be. We turned our backs as she scraped up the $20 bill and headed over the bar for a drink.

As my friend and I grabbed a cocktail I said, “What was that? You know with all of these waiting apps today that kind of old school give money to the hostess stuff doesn’t work anymore, right?” He quickly gave me a quasi staring glance and said, “Yeah, it works all the time. Everywhere I go, I have no reason to wait in line. I just give them a tip and magically I am at the head of the line.” As he blurted out this statement I laughed a little bit and thought it would be best to take our drinks and head to the patio scene.

As we worked our way to the patio, he shared with me WHY he uses this technique. He started discussing the concept of an HOUR of time and what one hour of time is actually worth today. If an hour of your time is worth $100, $200, or even $500, why in the world would you ever make you, your friends, or your family wait if you could spend money to get to the front of the line. They do it in places like Disney World with the fast pass, so why not fast pass yourself at the restaurant?

About five minutes later on the patio, a buzz came into my phone. Sure enough it was the hostess saying that my table was ready for us to sit at RIGHT NOW! Not only did we get a table, but we got one of the best patio tables in the entire place. As we sat down, an incredulous look came across my face almost in bewilderment of what just happened at the restaurant. I said to my buddy, “There is no way I thought that kind of stuff had worked anymore. If I had known that, I would have used it a week ago in Savannah where we had to wait 90 minutes for dinner.” He said to me, “Just remember Ted, what is an hour of your time worth? If you can get seated for less than that do it every single time.”

Next time I am in line for a long wait, maybe Uncle Benjamin will join me and find us a seat within the blink of an eye.

]]>https://www.yoursmartmoneymoves.com/2017/06/24/slip-the-hostess-a-50-bill/feed/212048What Blackjack Will Teach You About Retirementhttps://www.yoursmartmoneymoves.com/2017/06/22/what-blackjack-will-teach-you-about-retirement/
https://www.yoursmartmoneymoves.com/2017/06/22/what-blackjack-will-teach-you-about-retirement/#respondThu, 22 Jun 2017 14:46:13 +0000http://yoursmartmoney.wpengine.com/?p=12039
sponsored by Midland National You have made it to Las Vegas and settled into your favorite hotel. After a few quality minutes of checking out your luxurious room, you decide it’s time to hit the main gambling floor. Choices, choices. You walk by the sports book, past the slots, the screaming at the craps table, and you wind up sitting down to play your favorite game – blackjack. So, what in the world can playing blackjack teach you about your retirement? More importantly, HOW can blackjack teach you one of the most valuable lessons about protecting your retirement assets? Blackjack is an interesting game. It’s part strategy and part social chatting depending on whether the dealer is giving you a run of easy cards to play or a set of more difficult choices depending on what the dealer doles you out. In a perfect world, you would be getting blackjack after blackjack (or 21 after 21), but in reality you’ll be getting 20’s, 18’s, and the worst of scenarios where...]]>

You have made it to Las Vegas and settled into your favorite hotel. After a few quality minutes of checking out your luxurious room, you decide it’s time to hit the main gambling floor. Choices, choices. You walk by the sports book, past the slots, the screaming at the craps table, and you wind up sitting down to play your favorite game – blackjack. So, what in the world can playing blackjack teach you about your retirement?

More importantly, HOW can blackjack teach you one of the most valuable lessons about protecting your retirement assets?

Blackjack is an interesting game. It’s part strategy and part social chatting depending on whether the dealer is giving you a run of easy cards to play or a set of more difficult choices depending on what the dealer doles you out. In a perfect world, you would be getting blackjack after blackjack (or 21 after 21), but in reality you’ll be getting 20’s, 18’s, and the worst of scenarios where you are dealt 13 and the dealer is showing a face card. Getting those types of hands are incredibly frustrating. Much like the stock market, you’ll have some good decks dealt to you and some bad decks dealt to you, but if you deploy a smart betting strategy over time you could walk away a winner.

So, what’s the absolute most gut wrenching scenario at the blackjack table?

Here’s the scenario. The dealer swipes out the cards and your first card is a king of diamonds and the second card is an ace of spades. The moment that card comes out of the chute, a sigh of relief comes across your face as you know you have a winning hand. You start smiling at your friends and giving them high fives when UNTHINKABLE strikes. The dealer has their first card face down, and low and behold, they deal themselves an ace. All of sudden you go from euphoria to high anxiety. You could actually lose! The dealer slowly waves their hand across the table and asks you one SIMPLE question. “Do You Want INSURANCE?” At which point, most people I’ve seen play blackjack say no and it’s a coin toss.

With the stock market hitting all-time highs, many investors wonder if there is a way to continue to grow their money, but also protect their assets from an outright stock market crash. So, is it a good idea to use an insurance company to help protect your assets? Midland National® Life Insurance Company offers something called a fixed index annuity. With Midland National, they offer market linked growth without the risk of loss of premium due to market downturns, guaranteed lifetime income, and a death benefit. (Source: www.midlandnational.com/types-of-annuities)

Remember, fixed index annuities are not a direct investment in the stock market. They are long-term insurance products with guarantees backed by the issuing company. They provide the potential for interest to be credited based in part on the performance of specific indices, without the risk of loss of premium due to market downturns or fluctuation. They may not be appropriate for all clients.

The biggest reason most people may not take the insurance is that there isn’t much at risk with their bet. If you are betting $10 or even $25, a loss to the dealer isn’t going to dramatically change your life one way or another. BUT…. What if you had $250,000 on that hand? $500,000 on that hand? $1,000,000 on that hand? Wouldn’t it make sense to put some protection on your retirement savings so you knew you COULDN’T LOSE?

Do you believe the problems in America from 2008 have been fixed? Are you concerned about another market crash? If you are, you are not alone!

oXYGen Financial, Inc. co-CEO Ted Jenkin is one of the foremost knowledgeable professionals in giving financial advice to the X and Y Generation.

TED JENKIN IS SECURITIES LICENSED THROUGH INVESTACORP, INC. A REGISTERED BROKER/DEALER MEMBER FINRA, SIPC. ADVISORY SERVICES OFFERED THROUGH INVESTACORP ADVISORY SERVICES, INC. A SEC REGISTERED INVESTMENT ADVISORY FIRM. Linked sites are strictly provided as a courtesy. Investacorp, Inc., and its affiliates, do not guarantee, approve nor endorse the information or products available at these sites nor do links indicate any association with or endorsement of the linked sites by Investacorp, Inc. and its affiliates.

Fixed Index Annuities are not a direct investment in the stock market. They are long term insurance products with guarantees backed by the issuing company. They provide the potential for interest to be credited based in part on the performance of specific indices, without the risk of loss of premium due to market downturns or fluctuation. Although Fixed Index Annuities guarantee no loss of premium due to market downturns, deductions from your Accumulation Value for additional optional benefit riders could under certain scenarios exceed interest credited to the Accumulation Value, which would result in loss of premium. They may not be appropriate for all clients.

]]>https://www.yoursmartmoneymoves.com/2017/06/22/what-blackjack-will-teach-you-about-retirement/feed/012039Five Biggest Mistakes Families Make with Life Insurancehttps://www.yoursmartmoneymoves.com/2017/06/15/five-biggest-mistakes-families-make-with-life-insurance/
https://www.yoursmartmoneymoves.com/2017/06/15/five-biggest-mistakes-families-make-with-life-insurance/#commentsThu, 15 Jun 2017 13:00:38 +0000http://yoursmartmoney.wpengine.com/?p=12027
sponsored by Midland National The month of September is Life Insurance Awareness Month. While it’s still a few months away, it’s not too early to start protecting yourself today. Most families are getting tons of information thrown at them around the topic of investing, far too often I see families make major mistakes when it comes to life insurance. I had a widow come to see me just a few months ago when her husband had a tragic accident. He left her with three young children and a $500,000 insurance policy. With hardly any other saved money, she was left bewildered on how she would be able to make her bills, pay for her kids’ college education, and then also take care of her retirement. While $500,000 seemed like a lot money at the time they applied for the insurance, in reality it was barely enough to get by given all of the family goals. Here are the five biggest mistakes that families make when it comes to life insurance....]]>

The month of September is Life Insurance Awareness Month. While it’s still a few months away, it’s not too early to start protecting yourself today. Most families are getting tons of information thrown at them around the topic of investing, far too often I see families make major mistakes when it comes to life insurance. I had a widow come to see me just a few months ago when her husband had a tragic accident. He left her with three young children and a $500,000 insurance policy. With hardly any other saved money, she was left bewildered on how she would be able to make her bills, pay for her kids’ college education, and then also take care of her retirement. While $500,000 seemed like a lot money at the time they applied for the insurance, in reality it was barely enough to get by given all of the family goals. Here are the five biggest mistakes that families make when it comes to life insurance.

Not Reviewing Beneficiaries – When individuals make a beneficiary designation, they often don’t realize it is a contract of law. No matter what your will says, this is where the money will be going. Insurance policies allow for both a primary beneficiary and a contingent beneficiary which is highly recommended to be filled out. As your life progresses and your family situation changes with new children or a divorce, it is important to update these beneficiaries.

Picking the Wrong Amount of Insurance – Insurance can generally be rented or owned, with term insurance being the insurance that you rent. Midland National® Life Insurance Company is a strong and established life insurance company, and they provide affordable, temporary coverage with level term insurance in increments of 10 year, 15 year, 20 year, and 30 year levels. The main issue is that most families often only buy enough term life insurance to pay off their debts. You should be doing both a needs analysis and a human life value analysis to figure out exactly how much life insurance you need. What will the cost of college be for your children? How much money will your spouse need to maintain your family’s standard of living? Will you pay off the mortgage? All of these are important questions?

People Think They Will Be Healthy Forever – Most families only buy term insurance, but you should have a strong consideration to get some level of permanent insurance. Even though many term insurance policies are guaranteed renewable and non-cancelable, the cost for the new premium when your term renews might be incredibly expensive. Permanent insurance comes in all sorts of flavors, including whole life insurance, universal life insurance, indexed universal life insurance, and variable universal life insurance. If you are looking to have insurance forever and build up money for college education, for example, check out this great video. Remember, if your health changes in your 40’s or 50’s you may not be eligible to get permanent insurance down the road.

Only Using Insurance Through Work —Although it can be a very cost effective strategy to get your term life insurance at work, the main problem is that the life insurance isn’t generally portable if you leave work. This means if you change jobs or move to a new employer, the new employer may not have the same level of coverage you had at your old employer, and it is possible your health had changed since you joined your employer. It is important to consider some level of term or permanent protection on your own. Remember, the longer you wait, the more costly the proposition will be down the road.

Not Factoring Inflation — If you buy a $1,000,000 insurance policy when you are 35 years old, what is it worth when you are 55 years old? People often under-insure themselves when they are younger by not factoring in the silent killer of inflation. Make sure as you get older or when you think about how you structure your insurance policies, you consider this factor in your overall financial plan.

oXYGen Financial, Inc. co-CEO Ted Jenkin is one of the foremost knowledgeable professionals in giving financial advice to the X and Y Generation.

TED JENKIN IS SECURITIES LICENSED THROUGH INVESTACORP, INC. A REGISTERED BROKER/DEALER MEMBER FINRA, SIPC. ADVISORY SERVICES OFFERED THROUGH INVESTACORP ADVISORY SERVICES, INC. A SEC REGISTERED INVESTMENT ADVISORY FIRM. Linked sites are strictly provided as a courtesy. Investacorp, Inc., and its affiliates, do not guarantee, approve nor endorse the information or products available at these sites nor do links indicate any association with or endorsement of the linked sites by Investacorp, Inc. and its affiliates. oXYGen Financial, Inc and Ted Jenkins are not employees of Midland National Life Insurance Company. The opinions and ideas expressed by them are their own and not necessarily those of Midland National or its affiliates. Midland National does not endorse or promote these opinions and ideas nor does the company or agents give tax advice. Information contained herein has been obtained from sources believed to be reliable, but not guaranteed as to accuracy. All presentations are for agent representative use only and cannot be used, in whole or part, with consumers.

]]>https://www.yoursmartmoneymoves.com/2017/06/15/five-biggest-mistakes-families-make-with-life-insurance/feed/112027How To Get That College Graduate Out Of The Househttps://www.yoursmartmoneymoves.com/2017/06/10/how-to-get-that-college-graduate-out-of-the-house/
https://www.yoursmartmoneymoves.com/2017/06/10/how-to-get-that-college-graduate-out-of-the-house/#commentsSat, 10 Jun 2017 18:28:31 +0000http://yoursmartmoney.wpengine.com/?p=12021
Now that your baby is all grown up and has an official college degree, your responsibilities have ended, right? Wrong! Your son or daughter has informed you that that they will be moving home after college while they prepare themselves for their next phase in life. According to The Guardian, almost a third of Italian adults (31%) live with their parents. The highest proportion was amongst 18 to 29 year olds for whom unemployment is particularly high with 60.7% reported living at home. Are we taking over the Italians? Last year, NPR reported that a whopping 32.1% of kids aged 18 to 34 were living at home with Mom and Dad. Here are four tips to get that college graduate off the couch and launching into real life. Use Social Media…Yes, Social Media – In order to get your college graduate up and working in a real job, you have to make them treat getting a job like a job. One of my biggest recommendations is to hold them accountable...]]>

Now that your baby is all grown up and has an official college degree, your responsibilities have ended, right? Wrong! Your son or daughter has informed you that that they will be moving home after college while they prepare themselves for their next phase in life. According to The Guardian, almost a third of Italian adults (31%) live with their parents. The highest proportion was amongst 18 to 29 year olds for whom unemployment is particularly high with 60.7% reported living at home. Are we taking over the Italians? Last year, NPR reported that a whopping 32.1% of kids aged 18 to 34 were living at home with Mom and Dad.

Here are four tips to get that college graduate off the couch and launching into real life.

Use Social Media…Yes, Social Media – In order to get your college graduate up and working in a real job, you have to make them treat getting a job like a job. One of my biggest recommendations is to hold them accountable to get to 1,000 connections on LinkedIn and send out 15 messages a day. It won’t be hard for them to see their friends doing well in different social media channels, but give them a weekly goal of number of interviews that they will have every week.

Set A Deadline – If you don’t cut the cord at some point then you should expect the cord to start wrapping around your neck. It is important that you begin charging rent immediately, even if you plan on giving them that rent to get their first apartment or home. You need to be clear with your college graduate that this arrangement will last for three months, six months, etc., but has a definite deadline.

Make Them Have Responsibilities At Home – This isn’t about giving them $3 a week anymore to take the garbage out to the end of the driveway. It is important you set clear boundaries about how the house runs since they haven’t been home permanently for a long, long, time. You should be very direct about having people in the house, what chores are expected, and make certain that they don’t think you are there to wait on them hand and foot. Get them in the habit of helping to cook meals and do the laundry.

Sit down and help them make a budget (or just get them to come see us) – It’s a good likelihood that you have been picking up the auto insurance, health insurance, and many other bills that your newly minted college graduate has no idea exists. It’s a great idea to start to map out a budget on what it will cost for an apartment, automobile payments, food, and all of the other bills that they will be facing every month. For them to figure out what income they will need to be earning, there is no way to know this without a budget. Plus, doing a budget will add some more finality to the inevitability that they will be officially leaving home.

If you are struggling with how to handle this delicate situation, give me a call or shoot me an e-mail at ted@oxygenfinancial.net and we can help.

]]>https://www.yoursmartmoneymoves.com/2017/06/10/how-to-get-that-college-graduate-out-of-the-house/feed/212021What Does It Mean To Have “Conditional Receipt” When You Apply For Life Insurance?https://www.yoursmartmoneymoves.com/2017/06/08/what-does-it-mean-to-have-conditional-receipt-when-you-apply-for-life-insurance/
https://www.yoursmartmoneymoves.com/2017/06/08/what-does-it-mean-to-have-conditional-receipt-when-you-apply-for-life-insurance/#respondThu, 08 Jun 2017 15:53:07 +0000http://yoursmartmoney.wpengine.com/?p=12014
sponsored by Midland National It’s never fun having a discussion as a family or with a financial professional to figure out how much life insurance you need. Most people dread this conversation as much as going to buy a new car because you are going to always feel like the insurance agents are ready to pounce on making a sale. As long as I’ve been doing this, I have still yet to hear a surviving spouse tell me that they bought too much life insurance. In many married couples, it is still usually one spouse who drives the conversation about how much life insurance the family needs. Usually it is the major breadwinner of the family. Recently, I heard yet again another sad story from a surviving spouse whose husband passed away way before his time. When I learned a little more about the situation, she revealed that he had been approved for a large sum of life insurance a few years back but didn’t take it because he felt...]]>

It’s never fun having a discussion as a family or with a financial professional to figure out how much life insurance you need. Most people dread this conversation as much as going to buy a new car because you are going to always feel like the insurance agents are ready to pounce on making a sale. As long as I’ve been doing this, I have still yet to hear a surviving spouse tell me that they bought too much life insurance.

In many married couples, it is still usually one spouse who drives the conversation about how much life insurance the family needs. Usually it is the major breadwinner of the family. Recently, I heard yet again another sad story from a surviving spouse whose husband passed away way before his time. When I learned a little more about the situation, she revealed that he had been approved for a large sum of life insurance a few years back but didn’t take it because he felt he could get a better rating. A couple of years later, he reapplied for life insurance and actually got a better rating. However, after being wishy washy over which policy to take when he was approved, he never made a decision to take any of the policies and left the family without any life insurance because he died. The face amount of insurance had actually been approved, but he just didn’t accept and pay for the policy to put it in force.

This is where the term ‘conditional receipt’ becomes a very important conversation that most families glance over when they apply for life insurance. When you take an insurance application, naturally there is going to be a period from the time you sign the application until the date the application actually gets approved. In between those dates, you’ll have to do a phone interview, likely take a blood sample, EKG, etc. depending on the amount of insurance you apply for at that time. Typically, the insurance company will ask for certain records from all of your physicians so they can do the best job possible in ascertaining what rating you should get for the life insurance.

You have the option at the time of the application to submit a first month’s premium or submit no premium at all. The important part to attaching an initial premium called ‘conditional receipt’ is that if the policy gets approved (it must get approved and not just be in underwriting) and you die prior to the policy being delivered, it will still be considered binding by the insurance company due the fact that you submitted the premium for the first month (or year) along with the application. A reminder here to check the exact meaning with each insurance company when you apply for life insurance. Imagine that the policy is approved and waiting delivery as referenced in the case above. The family would still qualify to get the death benefit simply over floating a small chunk of change.

Not only is it important to get yourself a life insurance agent who understands the importance of conditional receipt, but also it reminds me that as you put your insurance in force with a life insurance company, it is important to have one with stability that is able to pay the claims when you actually need them paid. A good example is a company such as Midland National Life Insurance Company which has been around since 1906 and is more than 110 years old. Learn about Midland National – a company that offers term insurance, whole life insurance, universal life insurance, and indexed universal life insurance.

I would recommend that you always submit an initial amount with the policy if you are serious about the insurance because you can never know what unforeseen circumstances could arise between application and delivery. This small amount could make a huge difference for your family should something prematurely happen to you, so consider doing ‘conditional receipt’ the next time you apply for life insurance.

oXYGen Financial, Inc. co-CEO Ted Jenkin is one of the foremost knowledgeable professionals in giving financial advice to the X and Y Generation.

TED JENKIN IS SECURITIES LICENSED THROUGH INVESTACORP, INC. A REGISTERED BROKER/DEALER MEMBER FINRA, SIPC. ADVISORY SERVICES OFFERED THROUGH INVESTACORP ADVISORY SERVICES, INC. A SEC REGISTERED INVESTMENT ADVISORY FIRM. Linked sites are strictly provided as a courtesy. Investacorp, Inc., and its affiliates, do not guarantee, approve nor endorse the information or products available at these sites nor do links indicate any association with or endorsement of the linked sites by Investacorp, Inc. and its affiliates. Oxygen Financial, Inc and Ted Jenkins are not employees of Midland National Life Insurance Company. The opinions and ideas expressed by them are their own and not necessarily those of Midland National or its affiliates. Midland National does not endorse or promote these opinions and ideas nor does the company or agents give tax advice. Information contained herein has been obtained from sources believed to be reliable, but not guaranteed as to accuracy. All presentations are for agent representative use only and cannot be used, in whole or part, with consumers.

]]>https://www.yoursmartmoneymoves.com/2017/06/08/what-does-it-mean-to-have-conditional-receipt-when-you-apply-for-life-insurance/feed/0120147 Tricks You Still Fall For At The Grocery Storehttps://www.yoursmartmoneymoves.com/2017/05/27/7-tricks-you-still-fall-for-at-the-grocery-store/
https://www.yoursmartmoneymoves.com/2017/05/27/7-tricks-you-still-fall-for-at-the-grocery-store/#commentsSat, 27 May 2017 15:09:58 +0000http://yoursmartmoney.wpengine.com/?p=12007
Grocery stores have turned into much more than grocery stores today. They don’t just sell us frozen foods, vegetables, meats, and bread, but today they have become a virtual cornucopia of products and services that range across many different spectrums. However, at their core, grocery stores aren’t much different than taking a trip to the Wynn in Las Vegas. They are there to separate you from your money. As I try to look out for you as a consumer, I thought I would give you the seven best tricks I see grocery stores employ today and how you can become a smarter shopper at the store. Dairy Is In The Back – You might think the reason that dairy products are the last thing you buy in a grocery store is because you don’t want them to get too warm before you check out, but the reality is that dairy is typically in the back or the last aisle because the grocery stores know you need this staple more than...]]>

Grocery stores have turned into much more than grocery stores today. They don’t just sell us frozen foods, vegetables, meats, and bread, but today they have become a virtual cornucopia of products and services that range across many different spectrums. However, at their core, grocery stores aren’t much different than taking a trip to the Wynn in Las Vegas. They are there to separate you from your money. As I try to look out for you as a consumer, I thought I would give you the seven best tricks I see grocery stores employ today and how you can become a smarter shopper at the store.

Dairy Is In The Back – You might think the reason that dairy products are the last thing you buy in a grocery store is because you don’t want them to get too warm before you check out, but the reality is that dairy is typically in the back or the last aisle because the grocery stores know you need this staple more than any other item you buy. Grocery stores are intentionally designed to move right to left and not left to right. This is essentially the way we drive, we walk around tracks, etc. So, a smart idea for you might be to actually go backwards and start with dairy first.

They Want You (and) Your Kids To Look Eye Level – Haven’t had time to get those deep knee bends in this morning? Then just head on out to the grocery store. Grocery stores are infamous for placing items that they want you to buy at eye level, and often you can find a store or generic brand at the lower or bottom level for a better price with the same ingredients. For particular aisles that pertain to kids such as juice boxes, they also strategically place boxes at the kids eye level for the same reason.

Buy 3, Get One Free Of Something You Don’t Need – Just because there is a SALE on the end cap for box 2 boxes of cereal and you get one free doesn’t mean that you actually need that item. I’m not saying that these are necessarily good deals, but the store tricks you into buying items that you don’t need which makes you spend more money. If you are going to buy an end cap item, make sure the price is still good and it is actually on your list.

Testing Your Senses – Did you ever wonder why the florist and bakery are the two things that hit you in the face when you enter the grocery store? Cinnabon was famous for pumping that cinnamon smell when you got near the store in the mall because of how powerful it drew your sense in to make a purchase. It’s best to pass on these two items when you start shopping and end with them. The trick here is to put you in a good mood right away so you shop more.

10 items for $10 – Just because the store gives you ten of anything doesn’t necessarily make it a good deal. You need to look at the item somewhere else in the store to see if the $1 they are charging for you for the 1 item is actually in itself a good grocery shopping deal. Sometimes it may work out in your favor, but often it is just a ploy to get you to spend more money.

Wear Your Headphones – You may have never thought of this, but now that you think of it were they playing some Michael McDonald hit from 30 years ago that seemed to be moving as slow as mud. There is a very strategic reason they play slow music to get you to move slower while you shop to spend more money. This is why you need your own music!

Stay Away From The Samples – All of the major grocery stores love to give you samples. This isn’t just a ploy to try to get you to buy those items as you might imagine, but what it does is slow you down. The more time you spend in the store, the more money you will spend!!

]]>https://www.yoursmartmoneymoves.com/2017/05/27/7-tricks-you-still-fall-for-at-the-grocery-store/feed/212007When You Realize The Best Things In Life Are Freehttps://www.yoursmartmoneymoves.com/2017/05/21/when-you-realize-the-best-things-in-life-are-free/
https://www.yoursmartmoneymoves.com/2017/05/21/when-you-realize-the-best-things-in-life-are-free/#commentsSun, 21 May 2017 14:49:09 +0000http://yoursmartmoney.wpengine.com/?p=11999
Sometimes, people will make fun of me for driving a car with 204,000 miles of wear and tear on it. There isn’t a month that goes by that someone doesn’t ask me, “Ted, when are you going to get a new car?” On top it, I’m not the kind of person who buys myself much anymore. I don’t spend a lot money on clothes, I don’t have an expensive hobby, and I don’t even wear a watch anymore. You’d think I was bunkering up for a financial Armageddon, but in reality a few years ago I realized that no matter how much money you make the best things in life are free. Growing up as a child, we would have NEVER even thought about going to a four star hotel. Now, for most families it isn’t even about taking a vacation. It’s about the style points associated with the vacation. “Hey, have you gone to the Ritz Carlton in …..?” or “Hey, have you even stayed at the Animal Kingdom...]]>

Sometimes, people will make fun of me for driving a car with 204,000 miles of wear and tear on it. There isn’t a month that goes by that someone doesn’t ask me, “Ted, when are you going to get a new car?” On top it, I’m not the kind of person who buys myself much anymore. I don’t spend a lot money on clothes, I don’t have an expensive hobby, and I don’t even wear a watch anymore. You’d think I was bunkering up for a financial Armageddon, but in reality a few years ago I realized that no matter how much money you make the best things in life are free.

Growing up as a child, we would have NEVER even thought about going to a four star hotel. Now, for most families it isn’t even about taking a vacation. It’s about the style points associated with the vacation. “Hey, have you gone to the Ritz Carlton in …..?” or “Hey, have you even stayed at the Animal Kingdom in Disneyworld?” or “Hey, have you tried the Four Season in Vail?” While there is no doubt these kinds of vacations are nice once in a while, when you start doing them two, three, or four times per year your expectations become so high that you actually start to become disappointed when a four star resort doesn’t meet your expectations.

With the world of fine cuisine today, our expectations of a GREAT meal have gone off the charts. When two or three new restaurants open up in your neighborhood, you’d think that we all inherited some part of Anthony Bourdain’s personality in the way we critique these restaurants. I can remember so vividly as a child that when Mom and Dad took me out to the local diner that just the fact that I was not eating a home cooked meal made that diner so special. Now, it is a piece of cake to go out and spend $100 on a fine dining experience only to tell yourself that you would have been better off just eating at home.

When Sam Cooke sang The Best Things In Life Are Free, the lyrics went like this…

Ah the moon belongs to everyone The best things in life they’re free Stars belong to everyone They cling there for you and for me

Flowers in spring The robins that sing The sunbeams that shine They’re yours and their mine

Love can come to everyone The best things in life they’re free

The expectations even for the college experience are even through the roof. When I was on a recent college tour, the school boasted how their indoor track was the largest in the nation (by a few hundred feet) and there were 10 different exercise studios, steam showers, and even a zen area to just sit and relax. The dorms are now state of the art and the meal plans tie in with 30 or 40 restaurants in the local town. It’s no wonder that schools are so expensive because today’s college experience is just swipe away from getting just about anything.

Some of you are millionaires. Some of you are making hundreds of thousands of dollars per year. Some of you are struggling to pay off credit card debt and are living paycheck to paycheck. Remember this…no matter how much money you have in the bank, the best things in life are free.

A hug or a kiss from your loved ones

Getting a hand written card when you least expect it

Enjoyed the sun shining on you during a beautiful spring day

Taking a walk in the park with your dog

Smelling the beauty of the flowers or trees around you

Watching your children doing something great

Check out the local attractions

And much, much, more

Since I am in the money business, you would think all I care about is money. In reality, I’ve learned that money can give you financial security and it can buy you a bunch of stuff, but still the best things in life are free.

]]>https://www.yoursmartmoneymoves.com/2017/05/21/when-you-realize-the-best-things-in-life-are-free/feed/311999Five Great Technology Mother’s Day Giftshttps://www.yoursmartmoneymoves.com/2017/05/13/five-great-technology-mothers-day-gifts/
https://www.yoursmartmoneymoves.com/2017/05/13/five-great-technology-mothers-day-gifts/#respondSat, 13 May 2017 13:44:54 +0000http://yoursmartmoney.wpengine.com/?p=11986
Mother’s Day is tomorrow and word on the street is that spending is up this year…bigger than ever. The National Retail Federation estimated that consumers will spend 23.6 billion dollars on Mom this year in 2017, so who says people aren’t shelling out their wallets for Mom. If you are counting that is an average of $186.39 per consumer which is an 6% increase from 2016. Moms work hard and they are entitled to a show of appreciation on their special day. Most consumers will acknowledge that appreciation with a greeting card (77.9%%), though it appears her loved ones will also look for special gifts. Two-thirds (68.5%) of those celebrating will buy mom her favorite flowers, spending a total of $2.6 billion, and 37% percent will look for spring sweaters and blouses, spending a total of $2.1 billion on apparel and accessory items. Mom’s loved ones will also buy 2 billion dollars of consumer electronics this year, so you should completely bypass the Whitman’s sample and Jean Nate cologne and...]]>

Mother’s Day is tomorrow and word on the street is that spending is up this year…bigger than ever. The National Retail Federation estimated that consumers will spend 23.6 billion dollars on Mom this year in 2017, so who says people aren’t shelling out their wallets for Mom. If you are counting that is an average of $186.39 per consumer which is an 6% increase from 2016. Moms work hard and they are entitled to a show of appreciation on their special day. Most consumers will acknowledge that appreciation with a greeting card (77.9%%), though it appears her loved ones will also look for special gifts. Two-thirds (68.5%) of those celebrating will buy mom her favorite flowers, spending a total of $2.6 billion, and 37% percent will look for spring sweaters and blouses, spending a total of $2.1 billion on apparel and accessory items. Mom’s loved ones will also buy 2 billion dollars of consumer electronics this year, so you should completely bypass the Whitman’s sample and Jean Nate cologne and check out my five great ideas for technology gadgets on Mother’s Day.

Polaroid Snap – ($99 amazon.com) A mashup between a small-format instant printer and a digital camera, the Snap works pretty much like an old-school Polaroid camera. Pop up the viewfinder, take a shot and out comes a 2×3-inch print to share with friends and family. Unlike the instant cameras of yore, though, it also stores a digital version of your photos on a microSD card. This is a double win with both digital and hard prints for Mom.

Tile – ($25 single, 4 pack for $70 bestbuy.com) Tired of losing items including your keys and wallet and not remembering where you put them. Tile is a slick little piece of technology that can slip into your wallet, on your key chain, or into Mom’s favorite little purse. It works on a Bluetooth technology where you can ring lost items from your phone if you are within a 100 mile radius of your tile. How about this? If you lost your phone, you can double click your tile and it will ring your phone even if your phone is on silent! Tile will even remember the last place you had your item as it tracks the item all the time.

Jackery – ($70 jackery.com) If you don’t have the money to buy Mom one of those glitzy connected bags, Jackery might just be the idea for you. They have a small and sleek model that can charge up to three separate items at one time and can refill the entire battery for an i phone 6 three times before needing to be recharged again. Here’s a good tip…it can also double as a flashlight.

Amazon Echo Dot – ($49 amazon.com) The Amazon Echo Dot is a much more cost affordable version of the Amazon Echo. Most Moms could use an extra sidekick to take care of things here and there, so the Amazon echo is a voice-controlled device that can take care of many small things for mom. The device can give her updates on news, stream music, turn off lights, and even order a pizza in a hurry. It is a pretty functional device and is still within reach for the budgets of most families.

Apple’s Air Pods – ($159 apple.com) This is the most expensive item on my list, but since I started using the Air Pods I will never go back to something that has a cord. You would imagine the first time you put the Air Pods in your ears that the noise in the background and around you might make them inoperable. However, exactly the opposite has been my experience. This is a great gift for Mom’s that they can use in the car, at the grocery store, or even in a meeting room where everyone is talking around them. Bad news- tough to get in stock and might have to wait six weeks to get them.

There is always time to buy the traditional gifts – flowers, candy, clothes, etc. But in a modern day society, a good easy to use gadget can go a long way to Mom. Happy Mother’s Day to all Mom’s across America and most especially to my wife Genna!

]]>https://www.yoursmartmoneymoves.com/2017/05/13/five-great-technology-mothers-day-gifts/feed/011986How To Make Money From Your Old Cell Phones?https://www.yoursmartmoneymoves.com/2017/05/07/how-to-make-money-from-your-old-cell-phones/
https://www.yoursmartmoneymoves.com/2017/05/07/how-to-make-money-from-your-old-cell-phones/#commentsSun, 07 May 2017 15:11:58 +0000http://yoursmartmoney.wpengine.com/?p=11981
There is a small green wicker basket that sits in one of our drawers at home. It doesn’t really do anything at all except store cords, chargers, and phones. This basket has become a bit nostalgic because in just the last five to ten years, it almost acts like a mobile phone historic museum on how the smart phone has evolved. It’s funny seeing something like a Blackberry that was so modern 10 years ago and looks so ancient today. But since we love to figure out how to make money on items that are just sitting and collecting dust, just how can you make some dough off of your old cell phones? Gazelle With Gazelle, it is extremely fast, painless, and easy to sell your old cell phone. You will simply answer a few questions about your old devices and Gazelle will let you know how much it’s worth to them. They will send you a box to ship your cell phone and send it back to them and...]]>

There is a small green wicker basket that sits in one of our drawers at home. It doesn’t really do anything at all except store cords, chargers, and phones. This basket has become a bit nostalgic because in just the last five to ten years, it almost acts like a mobile phone historic museum on how the smart phone has evolved. It’s funny seeing something like a Blackberry that was so modern 10 years ago and looks so ancient today. But since we love to figure out how to make money on items that are just sitting and collecting dust, just how can you make some dough off of your old cell phones?

Gazelle

With Gazelle, it is extremely fast, painless, and easy to sell your old cell phone. You will simply answer a few questions about your old devices and Gazelle will let you know how much it’s worth to them. They will send you a box to ship your cell phone and send it back to them and even pay for shipping. Now, beware that Gazelle will have to inspect the phone when they receive it and may modify their offer, but they will make you an offer for your phone. You can get paid either by check, PayPal, or by an Amazon gift card. www.gazelle.com

EcoATM

Think about EcoATM using the ATM process that you have come to grow and love over the years. They use a simple three step process to get you cash back on your cell phones. The first thing you do is place your device into one of the EcoATM stations. The EcoATM machine will then examine your device and searches their network of buyers to find you the best possible available price. The condition of your model will matter in the overall pricing. Then, if you agree, EcoATM machine will sell your device and give you cash on the spot. www.ecoatm.com

IreTron

With IreTron, you will type in your device’s brand or model number into the search bar on the homepage. If they don’t show your product you can contact them for a personal quote. You will also tell them about the accessories that will be included and they will deliver you and instant quote. If you accept the quote, you will add the item to the selling list. Then, from there you will simply register with them and proceed to checkout to finalize your package. They will e-mail you a pre-paid shipping label as long as what you are sending them has value. If everything matches from your submission, then you’ll get paid. www.iretron.com

In addition to these three, many of the major vendors have trade in programs including Verizon, Best Buy, Amazon, and Apple, but the important thing to is not have idle assets sitting in your drawers at home when they could be working for you to make money. While you are doing your spring cleaning, maybe it’s time to make a call to one of the websites and pick up some summer cash.

]]>https://www.yoursmartmoneymoves.com/2017/05/07/how-to-make-money-from-your-old-cell-phones/feed/111981Is It Time To Consider I Bondshttps://www.yoursmartmoneymoves.com/2017/04/30/is-it-time-to-consider-i-bonds/
https://www.yoursmartmoneymoves.com/2017/04/30/is-it-time-to-consider-i-bonds/#respondSun, 30 Apr 2017 14:20:17 +0000http://yoursmartmoney.wpengine.com/?p=11975
I was reminiscing the other day about the gifts that my grandmother used to give me for my birthday and at holiday time. She wasn’t a great gift giver, especially when I would get a sweater vest with the big letter “T” etched right in the middle of the sweater. Oh yeah, I also got socks a few years which is a swell gift if you want to end up on the loser list at middle or high school. But, the one gift that didn’t mean much to me at the time and paid dividends later were the series EE savings bonds that I stuck in an envelope and let sit in my drawer until they matured. Those very bonds helped me be able to put a down payment on my first car so I can thank my grandmother for that. With interest rates hovering at an all time low over the past seven or eight years, hardly anybody talks about buying bonds from the Government because they just flat...]]>

I was reminiscing the other day about the gifts that my grandmother used to give me for my birthday and at holiday time. She wasn’t a great gift giver, especially when I would get a sweater vest with the big letter “T” etched right in the middle of the sweater. Oh yeah, I also got socks a few years which is a swell gift if you want to end up on the loser list at middle or high school. But, the one gift that didn’t mean much to me at the time and paid dividends later were the series EE savings bonds that I stuck in an envelope and let sit in my drawer until they matured. Those very bonds helped me be able to put a down payment on my first car so I can thank my grandmother for that.

With interest rates hovering at an all time low over the past seven or eight years, hardly anybody talks about buying bonds from the Government because they just flat out don’t pay any money. However, as inflation and interest rates rise, one consideration you might want to investigate is something called The I-Bond which can be found on www.treasurydirect.gov .

What Is A Series I Bond? (source: Investopedia)

A Series I-Bonds is a non-marketable, interest-bearing U.S. government savings bond that earns a combined:
1) fixed interest rate; and
2) variable inflation rate (adjusted semiannually).
Series I bonds are meant to give investors a return plus protection on their purchasing power. Additionally, the interest income is only taxable at the federal level, not at the state and local levels. Most Series I bonds are issued electronically, but it is possible to purchase paper certificates with a minimum of $50 using your income tax refund.

The two types of interest that a Series I bond earns are 1) an interest rate that is fixed for the life of the bond; and 2) another rate that is adjusted each May and November based on changes in the nonseasonally adjusted consumer price index for all urban consumers (CPI-U). Series I bond interest is compounded every six months.

So, what am I committing to if I buy an I-Bond? (source:TreasuryDirect.gov)

As of 4/24/2017

Current Rate:

2.76% through April 30, 2017

Minimum purchase:

$50 for a $50 I bond when purchasing paper bonds with your IRS tax refund

$25 for a $25 I bond when purchased electronically via TreasuryDirect

Maximum purchase

(per calendar year):

$10,000 in TreasuryDirect and $5,000 in paper bonds purchased with IRS tax refunds

Denominations:

Paper bonds with your tax refund: $50, $100, $200, $500, $1,000

Electronic bonds via TreasuryDirect: purchase to the penny for $25 or more

I bonds have an annual interest rate derived from a fixed rate and a semiannual inflation rate.

Interest, if any, is added to the bond monthly and is paid when you cash the bond.

I bonds are sold at face value; i.e., you pay $50 for a $50 bond.

Redemption Information

Minimum term of ownership: 1 year

Interest-earning period: 30 years

Early redemption penalties:

Before 5 years, forfeit 3 most recent months’ interest

After 5 years, no penalty

Tax Considerations

Savings bonds are exempt from taxation by any State or political subdivision of a State, except for estate or inheritance taxes.

Interest earnings are subject to Federal income tax.

Interest earnings may be excluded from Federal income tax when used to finance education (see education tax exclusions).

If you go back to your childhood, most of you will recall those bonds that sat in an envelope right next to your socks in your drawer. With the current environment and the Fed suggesting that rates may go up twice more here in 2017, this just might be a great time to put the “I” in your overall strategy.

]]>https://www.yoursmartmoneymoves.com/2017/04/30/is-it-time-to-consider-i-bonds/feed/011975Make Money By Renting Your Car Out?https://www.yoursmartmoneymoves.com/2017/04/23/make-money-by-renting-your-car-out/
https://www.yoursmartmoneymoves.com/2017/04/23/make-money-by-renting-your-car-out/#commentsSun, 23 Apr 2017 15:22:34 +0000http://yoursmartmoney.wpengine.com/?p=11900
One of the planning items that most people have when they go on vacation is whether or not to rent a car. With the evolution of services such as Uber and Lyft, some people are skipping the rent a car altogether and trying to manage the cost of having a car service take you around the city you are traveling through for vacation. However, we love showing people how to make money and one of the up and coming ideas is to rent your car out to others while it is just sitting there in the driveway. Some people leave the country for an extended period of time and won’t be using their car and others have a weekend car that does nothing but sit and collect dust during the week. Being smart about making money is getting your assets to work for you instead of you working for your money. The first service you need to learn about is called Turo (www.turo.com). This website gives you a list of...]]>

One of the planning items that most people have when they go on vacation is whether or not to rent a car. With the evolution of services such as Uber and Lyft, some people are skipping the rent a car altogether and trying to manage the cost of having a car service take you around the city you are traveling through for vacation.

However, we love showing people how to make money and one of the up and coming ideas is to rent your car out to others while it is just sitting there in the driveway. Some people leave the country for an extended period of time and won’t be using their car and others have a weekend car that does nothing but sit and collect dust during the week. Being smart about making money is getting your assets to work for you instead of you working for your money.

The first service you need to learn about is called Turo (www.turo.com). This website gives you a list of approved drivers in the Turo community to rent your car out to when you aren’t using it on the road. The Turo website boasts that you are covered by their $1 million insurance policy and they will be here for you every step of the way. Or you can bring your own commercial rental insurance and take a bigger piece of the pie. With Turo you’ll get notified when someone requests, or books your car instantly. Confirm or decline the trip as soon as possible, and contact the traveler if you have any questions. Much like a rent a car agency you will meet your renter, walk around the car, and make sure all details are checked off the list.

The second service you need to learn about is called HyreCar (www.hyrecar.com). Their website asks you if you have an underutilized car that is just sitting in your driveway collecting dust and depreciating in value. Their website claims that you can rent your car out to ridesharing drivers for places including Instacart and Lyft and earn up to $14,000 per year. That’s more than a $1,000 a month. It’s easy to sign up with quick fill out form and HyreCar is responsible for all the insurance and fixing up of your car in case something happens.

The 21st century has moved us more into a shared economy with the ease of what you can do on the internet today. We know there are two basic ways we can make money…actively working for it or passively having our assets working for us. If you have a gar sitting idly in the garage or under a cover, it just might be time for you to create another income stream in your family budget.

]]>https://www.yoursmartmoneymoves.com/2017/04/23/make-money-by-renting-your-car-out/feed/211900Four Tax Scams You Should Know Before You Filehttps://www.yoursmartmoneymoves.com/2017/04/15/four-tax-scams-you-should-know-before-you-file/
https://www.yoursmartmoneymoves.com/2017/04/15/four-tax-scams-you-should-know-before-you-file/#commentsSat, 15 Apr 2017 19:34:19 +0000http://yoursmartmoney.wpengine.com/?p=11893
How many of you have received this type of e-mail at one point in your life . . . DEAR SIR or MADAM, MY AIM OF CONTACTING YOU IS TO SEEK YOUR ASSISTANCE IN TRANSFERRING THE SUM OF THIRTY FIVE MILLION UNITED STATES DOLLARS ONLY (US$35,000,000) OUT OF NIGERIA AND INTO YOUR TRUSTED BANK ACCOUNT ABROAD. THESE FUNDS WERE PART OF THE FUNDS, WHICH WAS FOUND IN HER LATE HUSBAND’S PRIVATE ROOM. IMMEDIATELY AFTER HIS SUDDEN DEATH LAST YEAR AND SHE QUICKLY INFORMED ME, SINCE I VIRTUALLY RUN MOST OF HER SECRET BUSINESS BOTH HERE IN NIGERIA AND OVERSEAS, AS SHE HAS A LOT OF CONFIDENCE IN ME AND FORTUNATELY WITH MY IMMEDIATE ASSISTANCE, AND CONTACT WE WERE ABLE TO DEPOSIT THE MONEY IN A SECURITY VAULT PENDING WHEN THE WHOLE SITUATION WILL BE CALM. These scams were known at the Nigerian Scam letters, and most consumers know that if they received these types of e-mails they should immediately delete them and not respond. However, today there are a whole...]]>

How many of you have received this type of e-mail at one point in your life . . .

DEAR SIR or MADAM,

MY AIM OF CONTACTING YOU IS TO SEEK YOUR ASSISTANCE IN TRANSFERRING THE SUM OF THIRTY FIVE MILLION UNITED STATES DOLLARS ONLY (US$35,000,000) OUT OF NIGERIA AND INTO YOUR TRUSTED BANK ACCOUNT ABROAD. THESE FUNDS WERE PART OF THE FUNDS, WHICH WAS FOUND IN HER LATE HUSBAND’S PRIVATE ROOM. IMMEDIATELY AFTER HIS SUDDEN DEATH LAST YEAR AND SHE QUICKLY INFORMED ME, SINCE I VIRTUALLY RUN MOST OF HER SECRET BUSINESS BOTH HERE IN NIGERIA AND OVERSEAS, AS SHE HAS A LOT OF CONFIDENCE IN ME AND FORTUNATELY WITH MY IMMEDIATE ASSISTANCE, AND CONTACT WE WERE ABLE TO DEPOSIT THE MONEY IN A SECURITY VAULT PENDING WHEN THE WHOLE SITUATION WILL BE CALM.

These scams were known at the Nigerian Scam letters, and most consumers know that if they received these types of e-mails they should immediately delete them and not respond. However, today there are a whole host of new scams out there that you need to be on the lookout for as technology evolves especially when it comes to your income taxes. While you are always watching out for red flag audits, here are six tax scam you need to put on your list

Phishing Scams

What is it? As the word Phishing implies in the title, it is an email or website disguised as a trustworthy entity that is designed to fool you into downloading malware or giving your information away. These target everyone, but especially unsuspecting seniors in an attempt to gain social security numbers or bank information.

The red flag(s):

Email requests for money or private/sensitive information, or instructions to open an attachment, often from a fake email address or website as an example. Remember, you’ll see some of these where a friend or relative is in a foreign country and asks you to wire them money.

Protect yourself by… verifying the sender’s email address or website. Be vigilant, as a minor spelling “error” could mean the difference between a legitimate entity or a scammer. Or, what you may look out for is to inspect the country of origin. Does the e-mail say .de or .ru instead of a .com.

Phone Scams

What is it? Phone calls from criminals impersonating the IRS attempting to get you up in arms that you may owe money to the IRS.

The red flag(s):

The “fake” agents demand immediate payment of taxes, often in an angry manner.

Protect yourself by… immediately hanging up on anyone that shows these red flags. The IRS will never demand payment over the phone, threaten you, or request payment without first mailing you a bill.

Return Preparer Fraud

What is it? When a tax preparer falsely manipulates the figures on your income tax return to fraudulently obtain tax credits.

The red flag(s):

Tax preparer boasts that they can get you a larger refund than anyone else.

Fee is based on your refund. This is a sure sign that the preparer is up to no good.

Protect yourself by… choosing a reputable return preparer. Ask for their IRS Preparer Tax Identification Number (PTIN) and never sign a blank return. If you can get an enrolled agent or a CPA this will help as well.

Falsely Padding Deductions on Returns

What is it? Falsely inflating deductions or expenses on tax returns. A dishonest tax preparer might do this if they expect a percentage of their fee to come from your refund. If you don’t know what deductions are legitimate or the refund seems too good to be true, this should give you cause for consternation that something was done incorrectly.

The red flag(s):

Dishonest or illegal reporting of deductions to inflate your refund in hope of a percentage of your refund as the fee.

Protect yourself by… making sure you file a 100% accurate return. If you think some of the claims being made by the preparer don’t seem correct, then you should consider tax software or another preparer.

]]>https://www.yoursmartmoneymoves.com/2017/04/15/four-tax-scams-you-should-know-before-you-file/feed/111893There’s No Short Cuts To Getting Out Of Debthttps://www.yoursmartmoneymoves.com/2017/04/08/theres-no-short-cuts-to-getting-out-of-debt/
https://www.yoursmartmoneymoves.com/2017/04/08/theres-no-short-cuts-to-getting-out-of-debt/#commentsSat, 08 Apr 2017 13:00:29 +0000http://yoursmartmoney.wpengine.com/?p=11888
From time to time a prospective client will come to me with lots of Credit Card debt. They want to know what they can do to get out of debt? My answer is always the same. There are no short cuts. Every time they will ask if they should use one of the debt-settlement companies that you see on TV. You know the ones that promise financial freedom. What most of the companies do is convince you to stop making payments to the creditor. Some have you send the money to them to hold while they try and negotiate with the creditors to take a lump sum for less than what is owed. On the surface it seems like a good idea. Why wouldn’t the creditor want to negotiate for something now, rather than writing off the debt completely. But reports from the Center for Responsible Lending and the Federal Trade Commission point out that debt balances increase on average by 20% when stopping payments from a debt-settlement strategy. Here...]]>

From time to time a prospective client will come to me with lots of Credit Card debt. They want to know what they can do to get out of debt? My answer is always the same. There are no short cuts.

Every time they will ask if they should use one of the debt-settlement companies that you see on TV. You know the ones that promise financial freedom. What most of the companies do is convince you to stop making payments to the creditor. Some have you send the money to them to hold while they try and negotiate with the creditors to take a lump sum for less than what is owed. On the surface it seems like a good idea. Why wouldn’t the creditor want to negotiate for something now, rather than writing off the debt completely.

But reports from the Center for Responsible Lending and the Federal Trade Commission point out that debt balances increase on average by 20% when stopping payments from a debt-settlement strategy.

-Relief programs are not always quick. Some can take three or four years.

-Compare the cost to the Debt Settlement program with the increase in fees, as it will affect the amount of savings from the strategy.

-Note that the IRS views the savings as taxable income, so you may have to pay additional taxes.

-A creditor does not have to negotiate. They may decide to file legal action to get all the money owed. This could end up negatively affecting your credit score.

Your Smart Money Move to getting out of debt is to do the hard work of following a budget, cutting expenses and increasing payments to your creditor; and staying away from the debt settlement plans.

]]>https://www.yoursmartmoneymoves.com/2017/04/08/theres-no-short-cuts-to-getting-out-of-debt/feed/111888HELP! Someone Filed A Tax Return In My Name!https://www.yoursmartmoneymoves.com/2017/04/02/help-someone-filed-a-tax-return-in-my-name/
https://www.yoursmartmoneymoves.com/2017/04/02/help-someone-filed-a-tax-return-in-my-name/#respondSun, 02 Apr 2017 16:41:17 +0000http://yoursmartmoney.wpengine.com/?p=11881
With the deadline looming for taxpayers, the crunch will be on for people scrambling to get their final documents together and submit their official tax return. Imagine this scenario. You submit your tax return only to receive a rejection notice from the IRS several weeks later saying that they have already received a tax return submitted by you already. How’s that for a situation that is sure to rock your world. Unfortunately, in today’s world all you really need are some social security numbers and the internet to start winning at the tax return identity theft game. According to TIME Magazine, in 2013 alone more than 5.8 Billion in refunds were issued to criminals who were using other people’s personal information. The scale, scope, and execution of these fraud schemes have grown substantially in size. What should you do if someone stole your tax refund? Don’t panic. You will likely only figure this out after the IRS rejects your ‘real’ tax return Go to irs.gov and pull down form 14039...]]>

With the deadline looming for taxpayers, the crunch will be on for people scrambling to get their final documents together and submit their official tax return. Imagine this scenario. You submit your tax return only to receive a rejection notice from the IRS several weeks later saying that they have already received a tax return submitted by you already. How’s that for a situation that is sure to rock your world.

Unfortunately, in today’s world all you really need are some social security numbers and the internet to start winning at the tax return identity theft game. According to TIME Magazine, in 2013 alone more than 5.8 Billion in refunds were issued to criminals who were using other people’s personal information. The scale, scope, and execution of these fraud schemes have grown substantially in size.

What should you do if someone stole your tax refund?

Don’t panic. You will likely only figure this out after the IRS rejects your ‘real’ tax return

Go to irs.gov and pull down form 14039 to file a report with the IRS. You will need to let them know your identity was stolen, the tax year that was affected, and the last year you were able to process a tax return. Along with this form, you’ll need to send in a copy of your Social Security card and a copy of your driver’s license or a U.S. passport.

If you are really concerned, you can always called the IRS Identity Protection Specialized Unity at 800-908-4490 and report the case on that line as well. You be assigned a tracking number and a PIN as well.

You should contact the three major credit bureaus (Equifax, Experian, and TransUnion) to be sure you put a freeze on your credit report

For added protection, you could file a report with your local police and an identity theft report with the Federal Trade Commission.

Make sure you also contact your state Government if you file state income taxes because it’s likely that a fraudulent return was filed in that state as well.

You’ll end up going through a lot of extra time getting your refund back if this happened to you this year, and you’ll be issued PIN numbers from the IRS to safeguard your future returns.

If your identity is stolen, the hardest part of this process is going to be the wait and it generally won’t get fixed in a week or two. You may also want to notify your banks, brokerage companies, or other organizations to put them on alert that your identity may have been stolen. Use these smart money moves to help you know what to do if someone steals your tax refund!

]]>https://www.yoursmartmoneymoves.com/2017/04/02/help-someone-filed-a-tax-return-in-my-name/feed/011881When You And Your Spouse Just Can’t Agree About Moneyhttps://www.yoursmartmoneymoves.com/2017/03/26/when-you-and-your-spouse-just-cant-agree-about-money/
https://www.yoursmartmoneymoves.com/2017/03/26/when-you-and-your-spouse-just-cant-agree-about-money/#respondSun, 26 Mar 2017 15:57:51 +0000http://yoursmartmoney.wpengine.com/?p=11875
It starts with the small arguments. You don’t agree on where to eat out on a date night during the weekend. Then it turns to small petty arguments with not being able to agree on whether to paint the family room that has been all scratched up by the kid’s toys. Ultimately, it leads to full scale arguments about issues on whether to send the kids to private or public school, whether to vacation in Hawaii, and potentially doing a complete bedroom remodel 10 years after you have lived in your home. Although you tied the knot and agree it would be until ‘death do us part’, there are many nights one of you goes to bed before the other simply over the fuming battle about money. Money creates interesting behaviors in all of us. Some of these feelings were ingrained is us as children based upon the way we were raised. Some of us came from nothing and our money fears are deeply rooted in the fear of going...]]>

It starts with the small arguments. You don’t agree on where to eat out on a date night during the weekend. Then it turns to small petty arguments with not being able to agree on whether to paint the family room that has been all scratched up by the kid’s toys. Ultimately, it leads to full scale arguments about issues on whether to send the kids to private or public school, whether to vacation in Hawaii, and potentially doing a complete bedroom remodel 10 years after you have lived in your home.

Although you tied the knot and agree it would be until ‘death do us part’, there are many nights one of you goes to bed before the other simply over the fuming battle about money. Money creates interesting behaviors in all of us. Some of these feelings were ingrained is us as children based upon the way we were raised. Some of us came from nothing and our money fears are deeply rooted in the fear of going back to the nothing you had many moons ago. Others, simply hit an impasse in life where you know that whatever financial moves you are making are simply turning you down a path of destruction. So, when you and your spouse are constantly at each other’s throats around money discussions, how can you reasonably and rationally resolve your arguments?

While I am not a marriage counselor, half my life seems to be spent on the financial therapy side of the business as much as the actual pragmatic financial planning side of the business. Here are my four tips on giving you some guidelines on how to work out the fights that seem like they will never end.

Try to uncover the “money” childhood – While I do believe that most of who we are comes from our genetics and childhood, I’ve learned that most people have certain money memories that are mapped out by the way they were raised as a child. In either the absence of excess of money, these memories shape how we financially plan for the holidays, for our vacations, and for the potential future ways we will deal with money for our children. One really good idea is to have a talk about how money habits were instilled in each partner during their childhood.

Try to understand what makes someone “money happy”– Money means different things to different people. We know that money cannot ultimately buy you long term happiness, but it is important to understand the ‘why’ behind money happiness for your partner. Perhaps having a certain about in the bank provides a baseline of security that makes your partner money happy. Or, taking vacations make your partner money happy because their parents died too young to enjoy their money. Knowing this answer can better explains some of the emotions behind why your partner feels the way they do about money.

Set goals, goals, and more goals? – You say that you both like biking for retirement. However, you like the idea of mountain biking and partner is thinking about getting the Harley roaring in the mountains. You like the idea of traveling around the world and your partner just wants to have a garden in the backyard. There is nothing harder, but better than having your joint goals on paper even if they aren’t 100% simpatico. While some goals you make be completely in sync, you’ll find that the goals that are mismatched may be what’s causing the underlying friction.

Learn The One Big “Nag” Money Item – You both likely have one nagging item that really, really bothers each other. Think about this like when he leaves the wet towel in the middle the bathroom. Maybe one of you has a Starbuck’s or Amazon addiction that is more out of control than you think it is currently. Or, perhaps because one of you is constantly checking the American Express card every day it drives your partner nuts because they feel no independence whatsoever. Find out the one big nag that both of you have.

These four steps may not completely shut down your fighting, but it will help to get an open dialogue going. If you can’t fix it yourself, maybe you need more than a financial advisor. You might need to talk to someone who has the skill to do both financial therapy and financial advice all at the same time. Otherwise, the ‘until we part’ could come much sooner than you anticipated.

]]>https://www.yoursmartmoneymoves.com/2017/03/26/when-you-and-your-spouse-just-cant-agree-about-money/feed/011875What Happens To My Frequent Flyer Points When I Die?https://www.yoursmartmoneymoves.com/2017/03/19/what-happens-to-my-frequent-flyer-points-when-i-die/
https://www.yoursmartmoneymoves.com/2017/03/19/what-happens-to-my-frequent-flyer-points-when-i-die/#respondSun, 19 Mar 2017 15:03:21 +0000http://yoursmartmoney.wpengine.com/?p=11868
When a loved one passes away, there are often many financial matters to deal with in the estate planning process. Often, you have to deal with collecting life insurance policy proceeds, closing out bank accounts, and dealing with the transfer of IRA and 401(k) accounts. In most families, there is also lots of discussion over possessions including automobiles, jewelry, or other collectibles. But, what about all of those frequent flyer points? Will they continue on to a beneficiary or just drift away into a black hole of frequent point oblivion? Before we discuss various programs and what the potential outcomes are at death, let’s talk about some best practices. Most families don’t even really track their miles or points. This is why we encourage people to use the online personal financial dashboard with oXYGen Financial because you actually have the ability to track all and any point programs to know exactly what you have. It’s not a great idea to keep all of the points in the name of one...]]>

When a loved one passes away, there are often many financial matters to deal with in the estate planning process. Often, you have to deal with collecting life insurance policy proceeds, closing out bank accounts, and dealing with the transfer of IRA and 401(k) accounts. In most families, there is also lots of discussion over possessions including automobiles, jewelry, or other collectibles. But, what about all of those frequent flyer points? Will they continue on to a beneficiary or just drift away into a black hole of frequent point oblivion?

Before we discuss various programs and what the potential outcomes are at death, let’s talk about some best practices.

Most families don’t even really track their miles or points. This is why we encourage people to use the online personal financial dashboard with oXYGen Financial because you actually have the ability to track all and any point programs to know exactly what you have.

It’s not a great idea to keep all of the points in the name of one person. Many programs let the points expire exactly at the same date as the individual expires, so having all of the “accounts” in one name can actually be counterproductive.

Is there a note in your will? As bizarre as this may seem, if you have amassed more than 1,000,000 points cumulatively you might have people from the estate fighting over those points because in reality they are money.

Never immediately cancel a credit card at death. The point companies may require a fee paid on the card of the holder to get the points transferred after the death of the individual.

Sometimes you can transfer points at death and sometimes you cannot. The rules and policies of companies are wildly different across the board, and this may alter your thinking on what programs you sign up for while you are living.

Here are just a few notable companies:

American Express: points accumulated by deceased member may be reinstated to new basic account or redeemed by estate of deceased card member. If you are not an additional member you should send a formal written request to membership rewards for distribution of points. This should include the name and position of executor of estate, name of individual designated to membership points

Jet Blue: points are non-transferable and can’t be combined with other TrueBlue members. Points do not constitute as property and are nontransferable upon death

Southwest: points can’t be transferred to a member’s estate or part of a settlement.

Delta: miles are not property of members. Unless authorized in the membership guide and program rules. Cannot be sold, transferred, etc.

United: mileage and certificates are not property of member and not transferable unless authorized by airline.

American Airlines : mileage, tickets are transferable by death. However, the airline in its discretion may credit accrued mileage to a person specifically identified in court.

Hilton allows for points transfer upon death.

Hyatt will permit transfer of points to someone at the same residential mailing address. (They actually let you transfer points to any member for free )

IHG Rewards Club points may be transferred to a beneficiary within one year of death

Marriott points can be transferred to a spouse or domestic partner upon death.

Starwood will allow transfer of points to another active SPG member upon review of requested documentation.

If the account is cancelled all points will be forfeited and may have a certain time frame to use the points, so please make sure you just don’t go ahead and cancel the account. If you are struggling with how to handle these issues or are settling an estate, feel free to give oXYGen a call or shoot me an e-mail at ted@oxygenfinancial.net and we can assist.

]]>https://www.yoursmartmoneymoves.com/2017/03/19/what-happens-to-my-frequent-flyer-points-when-i-die/feed/011868The Best Retirement Account You Never Heard Of Before?https://www.yoursmartmoneymoves.com/2017/03/12/the-best-retirement-account-you-never-heard-of-before/
https://www.yoursmartmoneymoves.com/2017/03/12/the-best-retirement-account-you-never-heard-of-before/#commentsSun, 12 Mar 2017 17:04:00 +0000http://yoursmartmoney.wpengine.com/?p=11864
When it comes to retirement accounts, everyone wants to have the ultimate Swiss Army Knife. Wouldn’t it be great to have an investment that you can put away pre-tax, grows tax-deferred, and then ultimately comes out tax-free? Well, that strategy actually exists today and it is called a Health Savings Account. Typically Health Savings Accounts are tied to High Deductible Health Plans and allow you to put away money in the triple tax-advantaged strategy. But… how in the world does a health related account factor into your retirement? What I have noticed as of late is that more people are considering retirement before the age of 65. In many cases, the ‘work optional’ strategy starts to materialize for many couples in their late 50’s or early 60’s. The challenge of making an early retirement decision isn’t always about how much money you have saved for retirement, but dealing with healthcare related issues before you turn the age of 65 and qualify for Medicare can be a significant planning challenge. Even...]]>

When it comes to retirement accounts, everyone wants to have the ultimate Swiss Army Knife. Wouldn’t it be great to have an investment that you can put away pre-tax, grows tax-deferred, and then ultimately comes out tax-free? Well, that strategy actually exists today and it is called a Health Savings Account. Typically Health Savings Accounts are tied to High Deductible Health Plans and allow you to put away money in the triple tax-advantaged strategy. But… how in the world does a health related account factor into your retirement?

What I have noticed as of late is that more people are considering retirement before the age of 65. In many cases, the ‘work optional’ strategy starts to materialize for many couples in their late 50’s or early 60’s. The challenge of making an early retirement decision isn’t always about how much money you have saved for retirement, but dealing with healthcare related issues before you turn the age of 65 and qualify for Medicare can be a significant planning challenge. Even if you can COBRA your health insurance for 18 months after you separate from service from your employer, you may still be left with a gaping hole in your financial plan in the event that you have health matters that chew into your retirement capital.

For 2017, an individual can save $3,400 a year pre-tax and a family can save $6,750 pre-tax. If you are the age of 55 or older here in 2017, than you can save an additional $1,000 to your HSA account. You can open an HSA account through a bank, an insurance company, or another IRS approved trustee. Generally, if your balance in the HSA is more than $2,000, most trustees will have options to invest your HSA in a very similar fashion to how you can invest your 401k plan. Remember, because HSA plans are NOT use or lose, these are very portable investment accounts that come with you no matter where your place of employment is located. Monies will continue to grow tax-deferred until you use them at which point they will come out tax-free.

One side note for people considering an HSA. If you are strapped for cash, you have a one-time opportunity in one tax year to roll money from an IRA into an HSA. The dollars from the IRA must still stay within the annual contribution limits, but if you have plenty saved in IRA accounts this could be a smart alternative strategy.

If you are struggling with how to handle these as you plan for retirement, give me a call or shoot me an e-mail at ted@oxygenfinancial.net and we can help.

]]>https://www.yoursmartmoneymoves.com/2017/03/12/the-best-retirement-account-you-never-heard-of-before/feed/111864Want To Get Wealthy? Try A Budget Cleanse!https://www.yoursmartmoneymoves.com/2017/03/05/want-to-get-wealthy-try-a-budget-cleanse/
https://www.yoursmartmoneymoves.com/2017/03/05/want-to-get-wealthy-try-a-budget-cleanse/#respondSun, 05 Mar 2017 18:54:56 +0000http://yoursmartmoney.wpengine.com/?p=11858
There is so much discussion out there on the internet about picking stocks, bonds, exchange traded funds, and mutual funds. It’s dizzying to sort through the thousands of articles to really ascertain whether indexing is better than active or value is better than growth. When you think about building wealth, the discussion centers primarily around ‘asset management’, and which assets categories to own to grow your overall net worth. However, being an expert in the X and Y generation, the next 20 years of financial planning should be much more centered about your ‘cash flow management’ rather than your ‘asset management’. Since we have moved to a society where largely all transactions move through some sort of electronic currency. For most of you that means debit or credit cards, although we know that many forms of mobile financial technology are developing to easily allow two entities or people to transfer cash to one another. Rarely do people write checks today and cash seems to only be used when the establishment...]]>

There is so much discussion out there on the internet about picking stocks, bonds, exchange traded funds, and mutual funds. It’s dizzying to sort through the thousands of articles to really ascertain whether indexing is better than active or value is better than growth. When you think about building wealth, the discussion centers primarily around ‘asset management’, and which assets categories to own to grow your overall net worth. However, being an expert in the X and Y generation, the next 20 years of financial planning should be much more centered about your ‘cash flow management’ rather than your ‘asset management’.

Since we have moved to a society where largely all transactions move through some sort of electronic currency. For most of you that means debit or credit cards, although we know that many forms of mobile financial technology are developing to easily allow two entities or people to transfer cash to one another. Rarely do people write checks today and cash seems to only be used when the establishment says ‘cash only’. Given the pace of life for wealthy households, the number one issue I see among families earning more than $100,000 is that they have lost all transparency over their inflows and outflows with their cash. Attempt to use the word reconcile and most X and Y families think that word means making up after a fight over how many Amazon packages came last week, and not what we used to know as balancing your bank balance.

The quick and dirty word that nobody wants to talk about is BUDGET! Budget is the one word that can rapidly escalate a fire between two partners. So I like the word cleanse. This means getting right to the hard of finding out whether or not you are paying more for a service than you should be rather than break out an excel spreadsheet that you’ll never plan to use. Here are five quick things you can do to cleanse out your budget over the next five days.

Cable & Internet – Call the customer retention department. Tell them you want the initial deal you signed up for (which probably expired or ask them what is the best deal they can offer you now to reduce your bill or you will be leaving.

Mobile Phone – Don’t wait for your next renewal. Isn’t it ironic at renewal time how the mobile phone company magically has a better deal on your family plan? Go in this week and ask them for the best data, text, and talking plan they have for your family.

Groceries – We recently did a study at oXYGen and the average family goes to the grocery store 11 times a month. Try to go only weekly for one month with a list and your bills will get cut in half.

Credit Card – Review for recurring charges you don’t use any more or don’t need any more. Odds are you don’t read your monthly credit card statement and you’ll find at least one you can knock off the list.

Home & Auto Insurance – If you have a cash reserve, check the price differential by increasing your deductibles on the policy. The math should work to your favor and this is the reason you have a cash reserve.

According to the Millionaire Next Door authors Danko and Stanly, one formula you can use to judge net worth is Multiply your age times your realized pretax annual household income from all sources except inheritances. Divide by 10. This, less any inherited wealth, is what your net worth should be. The reason you may not be at this level has nothing to do with your ability to manage your assets, but instead your inability to manage your cash flow. It might be time to take a peek under your hood and cleanse out your monthly budget.

]]>https://www.yoursmartmoneymoves.com/2017/03/05/want-to-get-wealthy-try-a-budget-cleanse/feed/011858Should I Leave My Kids A Million Dollarshttps://www.yoursmartmoneymoves.com/2017/02/26/should-i-leave-my-kids-a-million-dollars/
https://www.yoursmartmoneymoves.com/2017/02/26/should-i-leave-my-kids-a-million-dollars/#respondSun, 26 Feb 2017 13:45:04 +0000http://yoursmartmoney.wpengine.com/?p=11853
Just the other week, I had one of the more interesting conversations with a client which sparked me to write this article. I’ve never been the kind of advisor that wants to ‘sell’ my clients insurance. I have always felt it to be best to implement risk management products for the best cost possible or utilize insurance vehicles in the best way to accumulate cash based upon each individual client situation. One of my clients called the other day and said they were considering buying a second to die policy. When I initially heard the request, I said, “Well, you don’t really have a need for more life insurance and we have really good accumulation strategies set up for your other goals.” As the conversation deepened, he told me that he wanted to be 100% certain that when he and his wife died that each child would get 2 million dollars no matter what happened with the rest of his financial situation. This led to a more intricate conversation about...]]>

Just the other week, I had one of the more interesting conversations with a client which sparked me to write this article. I’ve never been the kind of advisor that wants to ‘sell’ my clients insurance. I have always felt it to be best to implement risk management products for the best cost possible or utilize insurance vehicles in the best way to accumulate cash based upon each individual client situation.

One of my clients called the other day and said they were considering buying a second to die policy. When I initially heard the request, I said, “Well, you don’t really have a need for more life insurance and we have really good accumulation strategies set up for your other goals.” As the conversation deepened, he told me that he wanted to be 100% certain that when he and his wife died that each child would get 2 million dollars no matter what happened with the rest of his financial situation. This led to a more intricate conversation about whether to do what is called a second to die policy.

People often forget that life insurance goes income tax-free to your beneficiaries, and under today’s currently large estate tax exemption of more than 5 million dollars per spouse you can leave a significant amount of money to your kids both estate tax free and income tax free using life insurance. That is… if your goal is to leave your kids 1 million dollars or more.

How does second to die life insurance work?

Second to die insurance is normally an indexed universal life, variable universal life, or a whole life policy that only pays the life insurance benefit to the heirs at the death of the second person. The premiums on these policy will normally be lower due to the fact that TWO people have to die before the insurance money can be collected.

The good news is that underwriting can be easier on these policies, especially if one spouse is in poor health while the other is in good health. In the early stages of my career when the estate tax limitation was only 1 million dollars, you would see these policies built and sold all the time in irrevocable life insurance trusts. However, with the large estate tax exemption as it stands today, this actually could be an effective strategy to leverage today dollars to leave a large inheritance tax free for your kids in the future.

If you change your mind down the road, you could use the cash value of these policies for additional retirement income or attach other living benefits that may make sense for your family. But, if you are concerned about protecting your assets (IRA’s, brokerage accounts, or real estate) for your children, this could be a smart investment in terms of assessing the rate of return on your asset growth versus the actual rate of return for a death benefit which is guaranteed (because you will die one day).

Either way, there is no wrong or right on how much money you should leave to your kids as this is going to be your prerogative. However, it’s good to know what options are out there in case you choose to add this to your family plan.

]]>https://www.yoursmartmoneymoves.com/2017/02/26/should-i-leave-my-kids-a-million-dollars/feed/011853233,000 Dollars To Raise A Child….Without College?https://www.yoursmartmoneymoves.com/2017/02/18/233000-dollars-to-raise-a-child-without-college/
https://www.yoursmartmoneymoves.com/2017/02/18/233000-dollars-to-raise-a-child-without-college/#respondSat, 18 Feb 2017 15:01:15 +0000http://yoursmartmoney.wpengine.com/?p=11847
So what does it take to raise a child? They used to say it took a village to raise a child. Today it can be more challenging than ever with the influence of television, internet, and music coming at our children from every angle possible. I know this as my kids are twelve, ten, and eight years old respectively. But, according to the Department Of Agriculture (www.usda.org), it will cost a middle class family $233,000 to raise a child from birth to seventeen years old which represents slightly over $15,000 per year to your annual budget. In the report, a middle class family is considered to be incomes between $56,670 and $98,120. Child rearing was the largest expense in raising a newborn, followed by child care/education, and then food. Whether you are a single parent family or a married couple, expense for the child increasing significantly as the age of the child increases. If you live in an upscale city or suburb, the numbers can be higher and this does...]]>

So what does it take to raise a child? They used to say it took a village to raise a child. Today it can be more challenging than ever with the influence of television, internet, and music coming at our children from every angle possible. I know this as my kids are twelve, ten, and eight years old respectively. But, according to the Department Of Agriculture (www.usda.org), it will cost a middle class family $233,000 to raise a child from birth to seventeen years old which represents slightly over $15,000 per year to your annual budget.

In the report, a middle class family is considered to be incomes between $56,670 and $98,120. Child rearing was the largest expense in raising a newborn, followed by child care/education, and then food. Whether you are a single parent family or a married couple, expense for the child increasing significantly as the age of the child increases. If you live in an upscale city or suburb, the numbers can be higher and this does not include the cost of COLLEGE! So, how do you manage these rising costs of raising a child?

#5 HOUSING IS YOUR BIGGEST EXPENSE

1 child will add about $15,000 of expense per year.

Don’t over-home yourself before kids. This is probably the biggest tip I could offer to families considering having a child or about to have a child. There is a good chance you will go some period with just one income or one spouse will have a break in their income. Having a large home can put a huge crunch on your savings plan.

#4 HOW IS YOUR HEALTH INSURANCE?

Cost To Add Child To Health Policy? Most families will experience several hundred dollars per month with additional health insurance cost. In many cases if you work for a small employer, you may have to pay the full cost of the health insurance as your employer may only reimburse for covering you.

Consider FSA for Dependent Care. If you will be using day care, check out the flexible spending account for dependent care. This could allow you to put away as much as $5,000 pre-tax for child care and have those dollars be reimbursed to you Federal and State tax-free.

#3 BE A SMART SHOPPER

Look to by gender neutral clothes. If you have a second or third children, you won’t double up on the cost of clothes that your child wears for only a month.

Plan out your grocery list. It’s super easy to spend lots of money on baby items you simply don’t need. I recommend you sign up for Amazon Family which can save you as much as 20% on your everyday household items let along the gas to get to the grocery store.

#2 GET COLLEGE FUNDS SET UP NOW

Start saving early- Whether you use a 529, a UTMA, or a Coverdell IRA, the fact is your monthly savings for a college may only be a few hundred bucks per month if you start saving right when your child is born. Wait until they are they age of six or seven and watch your costs potentially double.

Tax credits (i.e. Child Tax Credit). Depending on your income, there are three or four tax credits you may qualify for that can lower your overall taxes.

#1 TEACH MONEY VALUES ALONG THE WAY

Teach The 20% Rule. Whatever your children get in the way of gifts, make them save 20% of it. This can be the most powerful rule you could ever teach them. It allows you to enjoy the rest of your cash once you save the money off the top.

No New Cars. Don’t set your teenager up for failure by buying them a $60,000 Land Rover. When they buy car number two, the dose of reality will smack them in the face like a Rocky Balboa right hook. Get them something used because they not only won’t see the cost of the car, they don’t even think about upkeep, insurance, or the cost of gas.

]]>https://www.yoursmartmoneymoves.com/2017/02/18/233000-dollars-to-raise-a-child-without-college/feed/011847Five Valentines Day Money Saving Ideashttps://www.yoursmartmoneymoves.com/2017/02/10/five-valentines-day-money-saving-ideas/
https://www.yoursmartmoneymoves.com/2017/02/10/five-valentines-day-money-saving-ideas/#respondFri, 10 Feb 2017 21:13:10 +0000http://yoursmartmoney.wpengine.com/?p=11840
Valentine’s Day is one of those special holidays that can put a real dent in our wallet. The average person in 2016 spend $147 according to the National Retail Federation. Here are five quick money ideas that you can use to still make a special Valentine’s Day while also being smart on how you spend your money. Become Your Own Private Chef – Have you ever tripped through one of those tasty.com videos on Facebook where you see recipes you always thought about making. This would be a great time to avoid the crowded restaurants and make a special meal for your significant other. Flowers At The Grocery Store – Skip the florist and discover that some of your best deals are located right at the local grocery store. Stop by at the end of the day on Tuesday and you’ll pick yourself up a great deal. Buy A Card At Trader Joe’s – You mean food, right Ted? Nope. Trader Joe’s is infamous for having some of the best...]]>

Valentine’s Day is one of those special holidays that can put a real dent in our wallet. The average person in 2016 spend $147 according to the National Retail Federation. Here are five quick money ideas that you can use to still make a special Valentine’s Day while also being smart on how you spend your money.

Become Your Own Private Chef – Have you ever tripped through one of those tasty.com videos on Facebook where you see recipes you always thought about making. This would be a great time to avoid the crowded restaurants and make a special meal for your significant other.

Flowers At The Grocery Store – Skip the florist and discover that some of your best deals are located right at the local grocery store. Stop by at the end of the day on Tuesday and you’ll pick yourself up a great deal.

Buy A Card At Trader Joe’s – You mean food, right Ted? Nope. Trader Joe’s is infamous for having some of the best $1.00 cards on the market place. Great quality and low cost.

Celebrate Monday vs. Weekend – Since Valentine’s Day fall on a Tuesday, many people will wait to celebrate the weekend after or do it the weekend before. Try Monday night. Cheaper deals and restaurants will be less crowded.

Frequent Flyer Points – Yes! If you are short on money, maybe you can cash in a few of those points for a gift versus taking a trip down the road. Check the clearance racks and you can pick some something good for 5,000 to 15,000 points.

]]>https://www.yoursmartmoneymoves.com/2017/02/10/five-valentines-day-money-saving-ideas/feed/011840Is It Time To Make A Roth IRA Conversion?https://www.yoursmartmoneymoves.com/2017/01/26/is-it-time-to-make-a-roth-ira-conversion/
https://www.yoursmartmoneymoves.com/2017/01/26/is-it-time-to-make-a-roth-ira-conversion/#respondThu, 26 Jan 2017 22:40:50 +0000http://yoursmartmoney.wpengine.com/?p=11831
Over this past year, more clients have asked me about whether or not it makes sense to do a conversion from their Traditional IRA to a Roth IRA. I’ve written before on the merits of a back door Roth IRA (http://bit.ly/2jNBfFA) before on Your Smart Money Moves, but the larger question about converting an existing account can be a tricky one to approach in your personal finances. More importantly, if you are not proactive in your tax planning, you could miss a tremendous opportunity to take advantage of a bad year with your business or if you have a substantially down year of income. Given the volume of planning cases I see every month, especially those in their late 40’s to late 50’s should be looking at this strategy very closely if you are in a transition phase. With the potential upcoming changes in the tax code suggested to move from seven tax brackets down to three, each family needs to examine even more closely this potential concept of a...]]>

With the potential upcoming changes in the tax code suggested to move from seven tax brackets down to three, each family needs to examine even more closely this potential concept of a Roth IRA conversion from a Traditional IRA. Remember, good financial planning doesn’t mean you’ll only focus on the accumulation phase, but you also need to consider what will happen during the decumulation phase as well. Not only considering the overall asset allocation you have in place today, but also overlaying your tax allocation to make sure your plan is set in the best direction possible. Here are three items to closely look at when you consider making a Roth IRA conversion.

Did you have a really bad year of income – Many Baby Boomers and Gen X’ers will experience at least ONE year where they have a down income year. This may be a year that you opened up a new business as a job transition, you took a sabbatical, your current business had a really bad year of results, or you went through a major job transition. Remember, if you have a year where you actually had negative income with your itemized deductions, negative business income, etc., you can potentially offset the conversion of your Traditional IRA to Roth IRA against the negative income. So, for example, if with all of your deductions your income was -$50,000 you could actually convert $50,000 of IRA money and still show zero income. This strategy can potentially also work well in years where you claim major losses in real estate.

Consider that Required Minimum Distributions are far away, but not that far away – It’s incredibly difficult for someone who is 45 or 50 to be thinking about what will happen when they turn the age of 70 ½. But, remember that Roth IRA’s are not subject to Required Minimum Distributions whereas all of your pre-tax money is going to be subject to Required Minimum Distributions. This can be incredibly powerful as a strategy if you really don’t need the income from your IRA accounts. It’s not only the fact that the cash will all come out Federal and State income tax free, but coupled with the fact that you don’t need RMD’s as a necessity is an important item to remember.

Consider that POTUS may potentially change taxes now and down the road – What’s likely the most difficult part of building a quality financial plan is trying to guess where tax rates will be 10, 15, or 20 years down the road. As the balance of power changes, so does the overall tax rates thrown at us. In the 1980’s Reagan had the tax rates simplified to just two income tax brackets in the 1980’s at 15% and 28%, and today we are currently at seven tax brackets with the top rate at 39.6%. By having both pre-tax investments and Roth IRA type investments, you give yourself a lot more flexibility for distributing cash in the least taxable manner down the road.

If you aren’t sure whether or not to convert your Traditional IRA, then it’s probably best to seek out financial advice or talk to your CPA. To Roth or not to Roth, that is the question.

]]>https://www.yoursmartmoneymoves.com/2017/01/26/is-it-time-to-make-a-roth-ira-conversion/feed/011831How Life Insurance Made Jim Harbaugh, Not Nick Saban, the Highest Paid Coach in the NCAAhttps://www.yoursmartmoneymoves.com/2017/01/22/how-life-insurance-made-jim-harbaugh-not-nick-saban-the-highest-paid-coach-in-the-ncaa/
https://www.yoursmartmoneymoves.com/2017/01/22/how-life-insurance-made-jim-harbaugh-not-nick-saban-the-highest-paid-coach-in-the-ncaa/#commentsSun, 22 Jan 2017 13:22:09 +0000http://yoursmartmoney.wpengine.com/?p=11825
Most that follow collegiate athletics are familiar with Nick Saban, arguably the most successful head coach in NCAA history. Heck, even if you don’t follow college sports, Saban has become a figure that is well known throughout the country for his Alabama teams and their ferocious defenses. But did you know that despite his track record on the field, he is not the highest paid coach in the NCAA? That distinction belongs to Jim Harbaugh, head coach of the Michigan Wolverines. Despite not having reached the pinnacle of the sport yet in terms of national championships, Michigan made Harbaugh the highest paid head man in the country in August of 2016. The avenue in which Harbaugh and the University accomplished this is not commonly seen in professional or amateur sports. After his first season with the Wolverines, Harbaugh and the leaders at Michigan entered into a Split-Dollar Loan Agreement under which the University agreed to make seven loan advances, of $2 million each, that would pay the premiums on a...]]>

Most that follow collegiate athletics are familiar with Nick Saban, arguably the most successful head coach in NCAA history. Heck, even if you don’t follow college sports, Saban has become a figure that is well known throughout the country for his Alabama teams and their ferocious defenses. But did you know that despite his track record on the field, he is not the highest paid coach in the NCAA?

That distinction belongs to Jim Harbaugh, head coach of the Michigan Wolverines.

Despite not having reached the pinnacle of the sport yet in terms of national championships, Michigan made Harbaugh the highest paid head man in the country in August of 2016. The avenue in which Harbaugh and the University accomplished this is not commonly seen in professional or amateur sports.

After his first season with the Wolverines, Harbaugh and the leaders at Michigan entered into a Split-Dollar Loan Agreement under which the University agreed to make seven loan advances, of $2 million each, that would pay the premiums on a cash value life insurance policy for Harbaugh. (Source: LifeHealthPro.com)

Not only do Harbaugh’s beneficiaries receive a death benefit when he passes away, but the Michigan head man can borrow money out of the policy TAX-FREE (both federal and state) as long as the policy continues to meet sustainability requirements.

This type of product is not uncommon for successful business owners or high wealth individuals that exceed the income threshold to contribute to a Roth IRA and are interested in putting away tax-deferred money above and beyond the limits of a traditional IRA or 401(k).

Two of the most common types of insurance to provide cash value are indexed universal life and whole life. These types of policies, if funded correctly, can be provided to key employees in a business and can act as the equivalent of a deferred compensation plan while costing the employer less than a traditional deferred compensation plan.

Next time you hear rumors of Jim Harbaugh leaving Michigan for an NFL job, keep in mind that his life insurance policy should keep him around for at least seven years as a key employee.

Shrewd move by both Harbaugh and the University of Michigan.

]]>https://www.yoursmartmoneymoves.com/2017/01/22/how-life-insurance-made-jim-harbaugh-not-nick-saban-the-highest-paid-coach-in-the-ncaa/feed/111825The Secret Your Cell Phone Carrier Does Not Want You To Knowhttps://www.yoursmartmoneymoves.com/2017/01/15/the-secret-your-cell-phone-carrier-does-not-want-you-to-know/
https://www.yoursmartmoneymoves.com/2017/01/15/the-secret-your-cell-phone-carrier-does-not-want-you-to-know/#respondSun, 15 Jan 2017 17:42:12 +0000http://yoursmartmoney.wpengine.com/?p=11820
These days we look to save on our bills where ever we can. One area to look at is our Cell Phones. What if I told you that you could save 50%-75% off your bill? Three of the big carriers, AT&T, Sprint and T-Mobile all have invested in secret sub-brands to try and attract the consumers who are more price sensitive. What they do not tell you is they use the same network as their parent company. Sprint has Boost Mobile. T-Mobile has GoSmartMobile and AT&T has Cricket Wireless. You use the same towers, get the same service and generally only pay $25-35 per month. So what about those of you on Verizon? Well they will not tell you outright, but they have a deal with Tracfone. Verizon does not want anyone knowing they have this sub-brand as they feel it will diminish the Verizon brand. Tracfone has a service called Total Wireless, which runs on the Verizon 4G network and for $35 per month, you get unlimited talk, unlimited...]]>

These days we look to save on our bills where ever we can. One area to look at is our Cell Phones. What if I told you that you could save 50%-75% off your bill? Three of the big carriers, AT&T, Sprint and T-Mobile all have invested in secret sub-brands to try and attract the consumers who are more price sensitive. What they do not tell you is they use the same network as their parent company.

Sprint has Boost Mobile. T-Mobile has GoSmartMobile and AT&T has Cricket Wireless. You use the same towers, get the same service and generally only pay $25-35 per month.

So what about those of you on Verizon? Well they will not tell you outright, but they have a deal with Tracfone. Verizon does not want anyone knowing they have this sub-brand as they feel it will diminish the Verizon brand. Tracfone has a service called Total Wireless, which runs on the Verizon 4G network and for $35 per month, you get unlimited talk, unlimited text and 5 GB of data.

In most cases you can use your existing Sprint, AT&T and Verizon phones on these other carrier’s plans. See if you can make Your Smart Money Move on one of these cell carrier sub-brands.

]]>https://www.yoursmartmoneymoves.com/2017/01/15/the-secret-your-cell-phone-carrier-does-not-want-you-to-know/feed/011820Why Are You Such A “Poor” Millionairehttps://www.yoursmartmoneymoves.com/2017/01/08/why-are-you-such-a-poor-millionaire/
https://www.yoursmartmoneymoves.com/2017/01/08/why-are-you-such-a-poor-millionaire/#respondSun, 08 Jan 2017 13:43:29 +0000http://yoursmartmoney.wpengine.com/?p=11815
As I continue to help more and more people approach the end zone of making work optional (a.k.a. – retirement) it continues to shed light on just how little one million dollars seems these days. It was once believed that the ultimate pinnacle for wealth building was to have one million liquid dollars, but with the uncertainty in the bond markets, stock markets, and real estate markets, it has baby boomers about to retire shaking in their boots about being sacked before they score a touchdown. Many people hear this notion being thrown about called the 4% percent rule. This rule was initially laid out by a financial planner William Bengen. He had back tested a variety of withdrawal rates using various historical rates of return and found that 4% withdrawal with the absolute highest rate that held up over a period of 30 years. So, if you are a “millionaire” with $1,000,000 of starting capital at ‘work optional’, you would be taking out $40,000 a year in that first...]]>

As I continue to help more and more people approach the end zone of making work optional (a.k.a. – retirement) it continues to shed light on just how little one million dollars seems these days. It was once believed that the ultimate pinnacle for wealth building was to have one million liquid dollars, but with the uncertainty in the bond markets, stock markets, and real estate markets, it has baby boomers about to retire shaking in their boots about being sacked before they score a touchdown.

Many people hear this notion being thrown about called the 4% percent rule. This rule was initially laid out by a financial planner William Bengen. He had back tested a variety of withdrawal rates using various historical rates of return and found that 4% withdrawal with the absolute highest rate that held up over a period of 30 years.

So, if you are a “millionaire” with $1,000,000 of starting capital at ‘work optional’, you would be taking out $40,000 a year in that first year of retirement. However, as many of you know, there isn’t much out there that is actually guaranteed at four percent in the marketplace today. This means that you’ll have to assume risk, and if you take out 4% in a declining stock market or a rising interest rate bond market your capital could shrink even quicker. To boot, this doesn’t even factor in inflation which surely will rise as interest rates rise in 2017.

Since most retirees these days do not have pensions, the timing of making work optional along with deciding when to take Social Security can compound the challenges even more when trying to figure out exactly how much income you’ll have in retirement and how long that will actually last. Historically, a popular “rule of thumb” was to use a number of 70% to 80% of your income to be replaced when you retire, although many in the financial planning community believe this to be inaccurate.

What I have experienced helping many clients retire is that your financial plan during retirement goes through three phases:

Jubilation – the first five years of retirement where you will overspend your normal spending rate. Of course this is the time when you kill most of the stuff on your bucket list.

Routine – this is the 10 to 20 years of retirement (especially up to the age of 80 to 85 where you get into your daily rituals. This may be working out, gardening, coaching, part time work, seeing family, and donating time.

Managing Health – this is typically the 80 to 85 until the day you die where you actually begin to decrease spending outside of your health care costs (hope you plan for this one)

Knowing this information, why still does it feel like you are so poor with a million dollars in your retirement plans? The reason is that the fear of going broke is far greater than the fear of success when you know you may not have the ability to go earn like you did in the past. If your investments only produce 4% or $40,000 a year and your Social Security gives you $30,000 a year, $70,000 may seem like it should be a reasonable income to live off of in retirement, right?

WRONG. If you don’t have a game plan, a budget, and the proper protection in place, you will always feel like you are going to run out of money. This is in part why you should always be thinking about your investments in three ways. What can provide you security? What can provide you a paycheck? What can provide you growth? If you set up the right G-P-S system, the right withdrawal amounts, and the right overall game plan you don’t have to feel like a “poor” millionaire.

]]>https://www.yoursmartmoneymoves.com/2017/01/08/why-are-you-such-a-poor-millionaire/feed/0118155 Key Points To Know When You Decide To Refinancehttps://www.yoursmartmoneymoves.com/2017/01/01/5-key-points-to-know-when-you-decide-to-refinance/
https://www.yoursmartmoneymoves.com/2017/01/01/5-key-points-to-know-when-you-decide-to-refinance/#respondSun, 01 Jan 2017 14:37:25 +0000http://yoursmartmoney.wpengine.com/?p=11811
With the Fed recently raising interest rates, people have already started to write and call me about whether or not it is still a good time to refinance. You will likely see more offers from your current mortgage company, broker, or bank looking to get you locked in before the Fed raises rates again in 2017. Here are my smart money moves to five key points to know when you make a final decision about whether a refinance is good for your property. There Is NO Rule Of Thumb — I love these random articles out there that say your mortgage rates needs to be down by a certain percentage for a refinance to make sense. In fact, Investopedia recently wrote, “The typical rule of thumb is that if you can reduce your current interest rate by 0.75-1%” This makes very little sense to me as this is going to be a math equation because all refinancing costs money. What you are ultimately trying to figure how is the following: How much...]]>

With the Fed recently raising interest rates, people have already started to write and call me about whether or not it is still a good time to refinance. You will likely see more offers from your current mortgage company, broker, or bank looking to get you locked in before the Fed raises rates again in 2017. Here are my smart money moves to five key points to know when you make a final decision about whether a refinance is good for your property.

There Is NO Rule Of Thumb — I love these random articles out there that say your mortgage rates needs to be down by a certain percentage for a refinance to make sense. In fact, Investopedia recently wrote, “The typical rule of thumb is that if you can reduce your current interest rateby 0.75-1%” This makes very little sense to me as this is going to be a math equation because all refinancing costs money. What you are ultimately trying to figure how is the following:

How much is this going to cost me?

How long will it take me to breakeven?

How long will I live in this home?

Keep A Close Eye On The Costs – Typically, a refinance is going to require that you pay closing costs up front which can be in the ballpark of 2% to 4% of your loan. If that number gets on the high side of 4%, or even get as high as five percent you’ll have to determine if you actually got the right lender. Some lenders will tell you there are ‘no closing costs’, but that doesn’t mean NO cost. Instead of you coming out of pocket with the closing cost money they may ‘roll’ those closing costs into the new mortgage which could make your breakeven time longer.

Consider Carefully How Long You Will Live In The Home – There are many different types of mortgages to choose from when you do a refinance. You could choose an adjustable rate mortgage, a fixed 30 year, a fixed 15 year, or a convertible mortgage such as a 7/1 (7 year fixed and then it becomes adjustable). While you may not always 100% know when you will move, having a good gauge on how long you will live in the house should help determine the outcome of the kind of mortgage you take.

Be Careful About Extending Your Time Frame Into Retirement – I have often see people become oblivious to the fact that if you refinance for 30 years, you are actually starting a new 30 year time frame for a mortgage. While you might convince yourself you will pay off the mortgage sooner than the 30 years, if you refinance your mortgage in your 40’s or 50’s, it may extend your time frame to actually retire because you have to carry that mortgage into retirement.

Say Bye-Bye To PMI – Since there are a good handful of people who have to carry PMI (Private Mortgage Insurance) because they do not put a down payment of 20% when they buy a home, PMI can be an extra insurance cost you carry for years to give your lender security. However, since real estate in most areas of the country have done well over the past 8 years, you might be able to cancel your PMI because you now have “20% equity” in your property.

]]>https://www.yoursmartmoneymoves.com/2017/01/01/5-key-points-to-know-when-you-decide-to-refinance/feed/011811The Rules For Retirement Are Changing And You Better Be Listeninghttps://www.yoursmartmoneymoves.com/2016/12/17/the-rules-for-retirement-are-changing-and-you-better-be-listening/
https://www.yoursmartmoneymoves.com/2016/12/17/the-rules-for-retirement-are-changing-and-you-better-be-listening/#commentsSat, 17 Dec 2016 18:35:34 +0000http://yoursmartmoney.wpengine.com/?p=11802
I am sure you have heard that phrase from many financial professionals over the years. This time I want you to really hear it THE RULES FOR RETIREMENT ARE CHANGING!! Hopefully I have your attention now because what I am about to tell you will scare the hell out of you. Whether you are in your 40s or 50s you have been hearing that you need to save for retirement in traditional vehicles such as 401ks, IRAs, and sometimes someone mentions Roth IRA. The reason you are told this is because of the tax deferral and the amount of money you can grow your nest egg for retirement. If you are a business owner or an employee of a company what I am about to say is a very bold statement and I will take heat for it. Your investment guy, your Certified Financial Planner™, your insurance representative, your CPA, your estate planning attorney and anyone in between I believe is ignoring your biggest concern in retirement. If Health Care...]]>

I am sure you have heard that phrase from many financial professionals over the years. This time I want you to really hear it THE RULES FOR RETIREMENT ARE CHANGING!! Hopefully I have your attention now because what I am about to tell you will scare the hell out of you. Whether you are in your 40s or 50s you have been hearing that you need to save for retirement in traditional vehicles such as 401ks, IRAs, and sometimes someone mentions Roth IRA. The reason you are told this is because of the tax deferral and the amount of money you can grow your nest egg for retirement.

If you are a business owner or an employee of a company what I am about to say is a very bold statement and I will take heat for it. Your investment guy, your Certified Financial Planner, your insurance representative, your CPA, your estate planning attorney and anyone in between I believe is ignoring your biggest concern in retirement. If Health Care costs in retirement was not your biggest concern before reading this, it will be by the time you are done! Our Federal Government has been very honest about it and we just ignore it. Everyone in the media is writing articles on it, yet your financial professional may not even be discussing it.

What if I told you that a 45 year old husband and wife today, based on their income in retirement and life expectancy, could pay as much as $2,000,000 dollars for health care in retirement. How about a couple that is 55 and potentially could spend over $1,200,000 on health care costs in retirement. This doesn’t even include potential Long Term Care costs.

There are few items that have accounted for most of the Health Care Costs in retirement; Changes to the Social Security’s Program Operations Manual system, the Medicare Modernization Act of 2003, and the Affordable Care Act of 2010. With the changes and passing of those three items, four important rules changes happened:

Everyone has a Mandatory expense in retirement, Health Care!

Social Security – To collect benefits you must accept Medicare Part A (by the way if you don’t take Part A you forfeit all your Social Security benefits and must pay them back)

Affordable Care Act – Everyone must have credible coverage

Health Care is determined by your income or the Medicare means test. The more income in retirement you make, the more you pay

Your Income is basically everything in your retirement savings. Anything that goes on line 8b and line 37 on your 1040

Most of your health care costs will be deducted from your Social Security benefits

The list above are all great vehicles and we should put money in them, but what do we put our money in to not count towards our income in retirement. That list includes: Roth Accounts, HSAs, 401(h) rarely used but can be very good, specific annuities, home equity, and cash value life insurance. If you can stuff as much money as you can into these products, it may pay off in retirement.

Also, if you would like the most recent Health View Insights White Paper on Health Care Costs in retirement, send me an email at karseneau@oxygenfinancial.net and include your name and address in the email.

Don’t wait to make some changes, find a financial professional that understands the planning process of Health Care in Retirement and settle in to a relaxing retirement.

]]>https://www.yoursmartmoneymoves.com/2016/12/13/ted-jenkin-helps-you-invest-with-donald-trump-as-president/feed/011809The One Time 10% Tax You Should Knowhttps://www.yoursmartmoneymoves.com/2016/12/11/the-one-time-10-tax-you-should-know/
https://www.yoursmartmoneymoves.com/2016/12/11/the-one-time-10-tax-you-should-know/#respondSun, 11 Dec 2016 17:47:06 +0000http://yoursmartmoney.wpengine.com/?p=11783
Many Americans are wondering how the President Elect Trump tax plan will affect the type of mutual funds and ETF’s that they buy going into 2017. One of the items bandied about in a serious way by President Elect Trump is to bring in trillions and trillions of dollars by repatriating money from companies’ accumulated offshore earnings through a one-time 10% tax to bring those dollars back to the United States. This tax is a substantial reduction from the current 35%, which would mean a massive tax save to large corporations. The thought process behind this strategy is to get some 2.6 trillion dollars (source Joint Committee On Taxation) back into America. If that money is returned into the hands of many large U.S. Multinational corporations, the philosophy is that jobs would follow quickly behind this influx of money and perhaps a throwback to the heydays of manufacturing. However, the capital influx could heavily influence where you invest your money into 2017 amidst speculation on where the market will go...]]>

Many Americans are wondering how the President Elect Trump tax plan will affect the type of mutual funds and ETF’s that they buy going into 2017. One of the items bandied about in a serious way by President Elect Trump is to bring in trillions and trillions of dollars by repatriating money from companies’ accumulated offshore earnings through a one-time 10% tax to bring those dollars back to the United States. This tax is a substantial reduction from the current 35%, which would mean a massive tax save to large corporations.

The thought process behind this strategy is to get some 2.6 trillion dollars (source Joint Committee On Taxation) back into America. If that money is returned into the hands of many large U.S. Multinational corporations, the philosophy is that jobs would follow quickly behind this influx of money and perhaps a throwback to the heydays of manufacturing.

However, the capital influx could heavily influence where you invest your money into 2017 amidst speculation on where the market will go having hit all-time highs last week.

Large companies such as Apple already have a ton of cash, so what would this really mean to investors? There are six things that large companies can do with this cash.

Boost the dividends of their investors

Buyback shares in their corporation

Aggressively seek mergers and acquisition activity

Hire more people

Invest heavily into research and development

Let the money accumulate in short term investments (especially as interest rates rise)

This means if the President Elect Trump tax plan passes and the majority of these dollars are repatriated back to the United States, there are two types of funds that can benefit immensely from this tax strategy. Remember, that owning stocks are dependent on each person’s own situation and you should have a lengthy time frame to own these.

Large Divided Paying Technology Companies – there are several that could both benefit from this upcoming situation.

Large Multinational Corporation Dividend Paying Companies – there are some that should get a huge boost if this strategy is completed in 2017.

Under President Elect Trump’s tax plan, repatriating could be making a happy 2017 for all of us.

]]>https://www.yoursmartmoneymoves.com/2016/12/11/the-one-time-10-tax-you-should-know/feed/011783Are Charitable Deductions Going To Be Wiped Out Under Trump?https://www.yoursmartmoneymoves.com/2016/12/03/are-charitable-deductions-going-to-be-wiped-out-under-trump/
https://www.yoursmartmoneymoves.com/2016/12/03/are-charitable-deductions-going-to-be-wiped-out-under-trump/#respondSat, 03 Dec 2016 15:51:16 +0000http://yoursmartmoney.wpengine.com/?p=11720
For many American families who prepare for year end tax planning, no discussion is complete without talking about charitable contributions. Many families make charitable contributions by tithing a percentage of their family income, giving cash to local charities, or they end up taking non-cash items from their household and donating them to a worthy charity. With the potential shake up in the tax law under a Trump regime, will you have your charitable contributions completely wiped out in 2017? First things first. You don’t really need to worry about charitable contributions if you don’t itemize your deductions at all. Today, a single filer has a $6,300 standard deduction and a married couple has $12,600 for a standard deduction. In addition, you get to deduct you, your spouse, and your children as personal exemptions on your tax return. The suggested policy going forward would be to wipe out the personal exemptions and offer a larger standard deduction of $15,000 for a single person and $30,000 for a married couple. With only...]]>

For many American families who prepare for year end tax planning, no discussion is complete without talking about charitable contributions. Many families make charitable contributions by tithing a percentage of their family income, giving cash to local charities, or they end up taking non-cash items from their household and donating them to a worthy charity. With the potential shake up in the tax law under a Trump regime, will you have your charitable contributions completely wiped out in 2017?

First things first. You don’t really need to worry about charitable contributions if you don’t itemize your deductions at all. Today, a single filer has a $6,300 standard deduction and a married couple has $12,600 for a standard deduction. In addition, you get to deduct you, your spouse, and your children as personal exemptions on your tax return. The suggested policy going forward would be to wipe out the personal exemptions and offer a larger standard deduction of $15,000 for a single person and $30,000 for a married couple.

With only 30% of Americans itemizing their deductions, the impact on any charitable contribution policy is going to revolve around those that have a higher income level. The chart below from the Wall Street Journal gives you a feel of the various income levels and where their current itemized deductions fall when they file their return.

With Trump’s proposal to cap itemized deductions at $100,000 for single filers and $200,000 for married filers, it is important to closely examine your schedule A which includes your state income taxes, real estate taxes, medical expenses that qualify to be deducted, mortgage interest, charitable contributions, and things such as unreimbursed employee expenses.

We don’t know where the final proposal will come to rest, but if you were going to consider a large charitable deduction, then this just might be the year to take advantage of doing it in 2016.

]]>https://www.yoursmartmoneymoves.com/2016/12/03/are-charitable-deductions-going-to-be-wiped-out-under-trump/feed/011720Five Holiday Gifts To Help Your Friends And Family Build Wealthhttps://www.yoursmartmoneymoves.com/2016/11/30/five-holiday-gifts-to-help-your-friends-and-family-build-wealth/
https://www.yoursmartmoneymoves.com/2016/11/30/five-holiday-gifts-to-help-your-friends-and-family-build-wealth/#commentsWed, 30 Nov 2016 15:20:56 +0000http://yoursmartmoney.wpengine.com/?p=11716
There is no doubt that this entire month is going to be spent hanging out at holiday parties, shopping at the department stores, and thinking about how fast each goes by as you get older. While we will see all sorts of gadgets, clothes, and toys that you can buy this holiday season, perhaps it might be a good idea to consider a gift that could help one of your friends or family members build some wealth. Here are my five your smart money moves that can help the ones you love increase their bottom line. uniquestockgift.com – What better way to help someone build wealth than actually purchasing them ONE share of stock? With Unique Gift Stock, you literally have hundreds of companies to choose from to buy one share of stock in a company and then give it away as a gift. You can present the stock in a beautiful frame with a personalized plaque note. From that point on, the recipient can reinvest the dividends and buy...]]>

There is no doubt that this entire month is going to be spent hanging out at holiday parties, shopping at the department stores, and thinking about how fast each goes by as you get older. While we will see all sorts of gadgets, clothes, and toys that you can buy this holiday season, perhaps it might be a good idea to consider a gift that could help one of your friends or family members build some wealth. Here are my five your smart money moves that can help the ones you love increase their bottom line.

uniquestockgift.com– What better way to help someone build wealth than actually purchasing them ONE share of stock? With Unique Gift Stock, you literally have hundreds of companies to choose from to buy one share of stock in a company and then give it away as a gift. You can present the stock in a beautiful frame with a personalized plaque note. From that point on, the recipient can reinvest the dividends and buy more shares of that same stock. Your overall cost will depend on the price of share of the stock.

ynab.com – If you have learned of a friend or a family member who is constantly complaining or worried about debt, then perhaps a great gift would be a one year subscription to You Need A Budget. According to YNAB, the average subscriber saves $3,300 in just the first year of using the overall budgeting system. Now, that is a way to really put some money in a loved one’s pocket!

Treasurydirect.gov – Why in the world would you go to the Treasury to find a gift? Well, quite simply you can now buy electronic savings bonds. While the traditional EE bonds may not have the biggest interest rate today, you can also purchase I bonds as well which are directly tied to inflation. You must set up an account on Treasury Direct and be able to provide the full legal name, social security number, and have the Treasury Direct number up and going.

Coin Sorter And Wrapper – Since we seem to dispose of change like it has no value, you may want to consider the Royal Sovereign FS44P 4 Row coin machine. You can buy this on Amazon. Developers have merged state of the art technology with a sleek and attractive physique, which combine to host an aura of industry and enterprise. The person who uses the FS-44P will be able to count 312 coins per minute, and it holds 800 coins at one time. The FS-44P also has an anti-jam mechanism, so you will be able to use it continuously without any problems. This hands-free device prints a receipt when it is done, revealing the total sum of each denomination of coin as well as their combined total.

Get Them A Book To Read – There are many good basic financial books out there, but for sure you ought to read my book 100 Smart Money Moves You Can Make Right Now! This books covers 10 chapters head to toe with stories about debt, retirement, taxes, and much more. For only $14.99, this could make a great stocking stuffer for the holidays!

https://www.yoursmartmoneymoves.com/2016/11/29/helping-you-not-have-a-holiday-financial-hangover/feed/011747One BIG 2017 Georgia 529 Plan Change For Collegehttps://www.yoursmartmoneymoves.com/2016/11/27/one-big-2017-georgia-529-plan-change-for-college/
https://www.yoursmartmoneymoves.com/2016/11/27/one-big-2017-georgia-529-plan-change-for-college/#respondSun, 27 Nov 2016 17:00:51 +0000http://yoursmartmoney.wpengine.com/?p=11712
As the cost continues to rise for college education, the state of Georgia is stepping up for the residents of Georgia and offering a new increased tax deduction that can really help Georgia taxpayers. All Georgia single taxpayers may deduct up to $2,000 each year on behalf of any beneficiary regardless of their annual income. Beginning with returns filed in 2017, all Georgia joint taxpayers may now deduct up to $4,000 each year on behalf of any beneficiary regardless of their annual income. Please note that a transfer of funds from another state’s 529 plan is not eligible for the Georgia income tax deduction. Georgia tax forms refer to the Path2College 529 Plan as the “Georgia Higher Education Savings Plan” (GHESP); the Path2College 529 Plan is established by the GHESP. Contributions made during the tax year, or before the following year’s federal tax filing deadline are eligible for the deduction. State tax benefits offered in connection with the Path2College 529 Plan are available only to Georgia taxpayers. You should consult...]]>

As the cost continues to rise for college education, the state of Georgia is stepping up for the residents of Georgia and offering a new increased tax deduction that can really help Georgia taxpayers.

All Georgia single taxpayers may deduct up to $2,000 each year on behalf of any beneficiary regardless of their annual income. Beginning with returns filed in 2017, all Georgia joint taxpayers may now deduct up to $4,000 each year on behalf of any beneficiary regardless of their annual income. Please note that a transfer of funds from another state’s 529 plan is not eligible for the Georgia income tax deduction. Georgia tax forms refer to the Path2College 529 Plan as the “Georgia Higher Education Savings Plan” (GHESP); the Path2College 529 Plan is established by the GHESP.

Contributions made during the tax year, or before the following year’s federal tax filing deadline are eligible for the deduction. State tax benefits offered in connection with the Path2College 529 Plan are available only to Georgia taxpayers. You should consult with a qualified tax advisor regarding the application of Georgia state tax benefits to your particular circumstances, but this could be a huge opportunity to kill two stones with one bird.

If you have two children you are currently putting away money for future college education, you could get up an $8,000 tax deduction. At a 6% savings rate, this means you can save almost $500 in taxes just by saving money for the future. Remember, 529 Plans cannot be used for K-12 education, and can only be used for higher education (college, law school, etc.). If you first child doesn’t use all of the 529 money, you can change beneficiaries over to your next child or a number of other beneficiary options.

Consider the investment objectives, risks, charges and expenses before investing in the Path2College 529 Plan. Before investing in a 529 plan, you should consider whether the state you or your designated beneficiary reside in or have taxable income in has a 529 plan that offers favorable state income tax or other benefits that are only available if you invest in that state’s 529 plan.

The tax information contained herein is not intended to be used, and cannot be used, by any taxpayer for the purpose of avoiding tax penalties. Taxpayers should seek advice based on their own particular circumstances from an independent tax advisor. Non-qualified withdrawals may be subject to federal and state taxes and the additional federal 10% tax. This does not constitute an offer to sell or solicitation of an offer to buy any security that may be referenced herein.